Ethereum shoots to new all-time high! Analyst expects „explosive growth
Ethereum has just shot up to a new all-time high, and Bitcoin has also been looking strong for a few hours.
The price of ETH has risen 5 per cent in the last 24 hours – one of the best performing crypto assets in the top 100 by market capitalisation.
Bitcoin was previously quite flat. The cryptocurrency entered a consolidation Crypto Cash phase last week, falling as low as $30,000 and then bouncing back towards $33,000 as this article was being written.
How the community is reacting
The community is naturally delighted with this milestone.
Circle’s Jeremy Allaire, for example, comments that with Ethereum’s new all-time high (Go to Buy Ethereum Guide), the „entire“ decentralised financial landscape will see „explosive growth“ in the coming months and years.
New ETH ATH, entire DeFi landscape set to see explosive growth.
– Jeremy Allaire (@jerallaire) January 25, 2021
Alex Wice, a prominent FTX trader who transacted over a billion dollars in a single month, recently posted a tweet: „54% 0.1.“
Did you think this was a joke, Anon?
𝐚𝐥𝐭 𝐬𝐳𝐧. https://t.co/wdQ0lXgr1p
– Alex Wice (@AWice) January 25, 2021
While that may seem like two random numbers, it’s an indication that Wice thinks bitcoin dominance of 62 percent right now could reach 54 percent – along with a 0.1 ETH to BTC ratio, which is about 125 percent higher than current levels.
While an eight percent drop in Bitcoin dominance doesn’t sound like a huge achievement, it could cause a massive re-rating in certain altcoins that have extremely small market caps compared to BTC.
Ethereum strength could catalyse further altcoin growth
Chris Burniske, a partner at Placeholder Capital, believes that further strength in Ethereum’s price relative to Bitcoin could seriously drive the altcoin market higher.
He recently shared the chart below, which shows Ethereum is extremely well positioned relative to BTC as it looks to rise above a critical resistance level. This could suggest that massive growth is on the horizon for the largest altcoin:
„I’m getting déjà vu from March 2017 when all the energy shifted from $BTC (then ETF) to $ETH. That’s the far left yellow marker, with the right yellow marker Jan 2021. If $ETH decides to move against $BTC in a month, it’s really moving.“
Those expecting $ETH to bump its head against $BTC, instead watch as $ETHBTC pushes for blue skies.
If this continues, risk will go full-on. https://t.co/rVpSczBb9v pic.twitter.com/XNF1ZMU5hG
– Chris Burniske (@cburniske) January 25, 2021
We’ve already seen this take place as various altcoins have exploded higher in the last 24 hours. Uniswap, 1inch, Aave and other DeFi coins, for example, are up over 20 percent in the last 24 hours.