Bitcoin (BTC) is comfortably chilling above $109,500, keeping its cool after a bit of profit-taking last week. But the real action is happening with Ethereum (ETH), which is catching traders’ attention as it’s up 5% in just 24 hours, outpacing other major cryptos. Record volumes for ETH-based products across exchanges.
"Investors are finally recognizing the compelling investment opportunity that Ethereum presents. It’s still trading well below its all-time highs, while bitcoin is already near its ATH levels," said Jeff Mei, COO at BTSE.
Ethereum's Growing Role and Future Potential
Ethereum’s rise isn’t just hype; it’s becoming the go-to for tokenizing real-world assets, like stocks, money-market funds, and U.S. Treasuries. Mei believes ETH could hit or even surpass its all-time high before the year’s end.
In the past two weeks alone, ether ETFs have pulled in over $800 million, while bitcoin’s ETFs are lagging with less than $400 million. That’s driving the difference between ether’s implied volatility and bitcoin’s to its highest level since late 2022, signaling traders are bracing for more price swings.
Ether perpetuals on Kraken hit an all-time high of 30,000 ETH this week, according to Alexia Theodorou, Kraken’s Head of Derivatives. "This signals a notable uptick in speculative activity," she said, though she warned that the market’s still undecided, with the long/short ratio far below January’s levels.
Meanwhile, Solana (SOL) and Cardano (ADA) are showing solid gains, up 4.7% and 3.3% respectively, while XRP increased by 2%, hitting $2.30. Even Ethereum’s beta bet, Dogecoin (DOGE), bounced back with a 3.7% rise, erasing last week’s losses.
All eyes are now on the U.S. CPI data set, which is scheduled to be released on Wednesday. The data could influence Federal Reserve rate expectations, setting the tone for next week’s big meeting. Get ready, this market is gearing up for some fireworks!
Gunel Ismayilova
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