Ethereum finally breaks $4,000
Personally I think Ethereum’s recent rally past $4,000 is an exciting development that reflects growing confidence in the cryptocurrency market.
Ether’s 2.4% gain in the last 24 hours and 8.4% rise over the past week have outpaced Bitcoin, underscoring its increasing appeal. The price is currently $4,033, inching closer to a 2024 high and just 20% shy of its all-time peak of $4,868.
Key factors driving this momentum include record inflows into spot ether ETFs and the expanding Coinbase premium. The premium, where ether trades higher on Coinbase compared to Binance, suggests heightened demand from U.S. institutional and retail investors. This aligns with market activity that surged following the U.S. market’s opening.
Additionally, on-chain metrics signal robust growth. Active Ethereum addresses have jumped from 368,000 in late September to 523,000 in early December. This rise in network activity, combined with Ethereum’s burn mechanism, is effectively reducing token supply, creating a positive feedback loop for ether’s value.
These developments highlight Ethereum’s growing utility and adoption, reinforcing its position as a key player in the evolving crypto landscape. For those closely following crypto trends, this milestone serves as a reminder of Ethereum’s resilience and potential in the market.
