Ethereum surged and became the most searched topic on Douyin! 🚨After Bitcoin surged and became a hot topic, the market collapsed within three days. Now everyone is wondering: How long can ETH rise this time?
Let’s first talk about the positive factors:
On May 7, Ethereum just completed the Pectra upgrade, which makes the coin more durable, faster to process, and cheaper to handle, and the technology has improved.
Recently, global trade relations have eased a bit, Trump is very friendly to cryptocurrencies, and the Federal Reserve has said that it may not shrink its balance sheet in advance. Everyone wants to get into the cryptocurrency circle when they have money on hand.
Many people who shorted Ethereum in the futures market have been liquidated, and institutions followed suit to buy, especially whales and big names such as BlackRock and Fidelity, which have entered the market and pushed up the price. Some analysts say that if ETH can hold steady at $2,000, all altcoins will follow suit, and some speculate that this wave will rise until August.
Let's talk about the risks:
The SEC has been keeping an eye on ETFs and DEXs recently, and it's hard to say when they will come up with policies to cause trouble, and the market may suddenly shake.
Now the money staked in Ethereum contracts exceeds $63 billion. If the price falls, both long and short positions will suffer heavy losses, which can easily cause large fluctuations.
Although Ethereum's second-layer network is developing rapidly, the first-layer network is still a bit stuck. If the subsequent upgrades are not kept up, everyone may not like to play, and the price will be suspended once confidence is lost.
Anyway, the current market looks lively, and whether it can last longer depends on whether the technology, policies and funds are strong. No one can say for sure, so just keep an eye on it!
