In recent days, the price of Ethereum (ETH) has significantly increased, driven by several key factors:
🔧 1. Ethereum network update - Pectra
The recent Ethereum update called Pectra has been the largest since 2022. It includes 11 improvement proposals aimed at increasing transaction speeds, reducing fees, and enhancing wallet usability. This update also allows for more flexible staking, raising the limit from 32 ETH to 2048 ETH per validator.
💼 2. Growing institutional interest and ETFs
The expectation of approval for spot Ethereum ETFs in the USA has caused a significant influx of institutional capital. For example, over $500 million in investments were attracted in just four days, indicating growing interest from large investors.
🐋 3. Activity of large investors (whales)
Large holders of ETH, known as "whales," are actively accumulating the cryptocurrency. Since the beginning of February, one such investor purchased approximately 69.5 thousand ETH for around $179 million, indicating their belief in the long-term potential of Ethereum.
📉 4. Decrease in supply on exchanges
The number of ETH on centralized exchanges has reached an eight-year low, which could lead to a supply shortage. This, along with the lack of selling pressure from miners, creates conditions for further price growth.
🌐 5. Increase in activity on the Ethereum network
Activity on the Ethereum network is increasing: the number of active addresses has risen from 368 thousand to 523 thousand in recent months. This indicates heightened interest in decentralized applications (DApps) and DeFi platforms, contributing to the growing demand for ETH.
And do you believe in further growth $ETH
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