Read top crypto market events on Bitcoin, Ethereum, Ripple, and Altcoins.
Ethereum has been gearing up for a price rally towards $2,000. According to a recent analysis by Jebb McAfee, an independent market analyst, there has been a range of contributing factors to ethereum's expected price surge, from the increase in the search volume on Google to its growth as a decentralized application server.
Its keyword score reached its best levels in the last three years on a five-year timeframe.
He points out other factors that bitcoin's growing dominance as a leading indicator of the coming price surge. Same as in 2017, the bull run of the bitcoin triggers that of ethereum's.
As bitcoin does well, traders start to look for alternatives that would also do so as well, and ethereum is the right choice. Within three days, the price of ethereum surged by close to 60%. All these are factors that will contribute to seeing that it rallies after its recent bearish turn.
Bitcoin narrowly escaped a bearish assault as it plunged by as much as 16.33% on the 4th of January. The dip served to point out the difference between this recent massive bull run and ethereum in December 2017.
Unlike that of the last three years, this year's price surge is characterized by a fresh influx of buyers at every dip, confirming it could keep being bullish even into next year.
Three reasons it could keep soaring and may retest its record high this week include: Two institutional financial firms have come out to indicate their investments in bitcoin of $1billion and $25.3 million, respectively. Another factor is the inflation of the dollar.
The dollar contracted by 7% last year while bitcoin grew by 300%. It also depends on the Federal Reserve's forward guidance.
The U.S. Office of the Comptroller of the Currency (OCC) has said that it would allow national banks or federal thrift associations to run nodes to validate, store, and record transactions on public blockchain networks.
The guideline also revealed that banks could use INVNs and stablecoins for payments as long as such protocols comply with existing industry best practices. This comes in fulfillment of an earlier promise made by OCC that there would be favorable crypto regulations.
After the release of the OCC news that it had approved U.S. banks to use public blockchain networks, the prices of cryptocurrencies jumped. Ethereum gained by nearly 12%, bitcoin gained by 5%. Algorand and Solana, native tokens for other stablecoin-supporting networks that support Tether (USDT) and Circle (USDC), also reacted to the news.
In conclusion, so far, it's been going well for bitcoin as well as other cryptocurrencies. There is no better time to invest than now.
