Can Ethereum reach a new historical peak this year?

Ethereum ($ETH ) has surged strongly in recent months, reaching a 5-month high of 3,418 USD on Wednesday. Analysts believe that this asset could achieve a new all-time high this year, thanks to strong fundamentals and a shift in market sentiment.

Institutional capital inflows and reduced supply drive prices

The surge in Ethereum coincides with institutions ramping up accumulation, notably SharpLink Gaming with holdings of nearly 828 million USD and BitMine Immersion Technologies having purchased over 500 million USD of Ethereum. A spokesperson for Elfa AI commented: "The current setup of Ethereum is one of the strongest setups in many years. The fundamentals, sentiment, and institutional capital flows all point in the same bullish direction."

Moreover, the ETH/BTC ratio has increased by 20% in just two weeks, indicating that investors are shifting towards #Ethereum after months of underperformance. The supply of Ethereum held on centralized exchanges has significantly decreased from 11 million ETH to 7.22 million ETH since the beginning of the year, showing that traders are hoarding ETH rather than actively trading. Charles Edwards, founder of Capriole Fund, expects Ethereum to reach new historical peaks within the "next six to twelve months." #anhbacong