The price of the cryptocurrency "Ethereum" has risen, nearing new record levels, with increasing optimism on Wall Street about the future of this digital currency.
The second largest cryptocurrency in the world by market cap rose by 0.7% on Thursday to exceed $4,700 per unit, approaching its record number set in 2021. Legislative and regulatory support for the market.
Tom Lee, head of research at Fundstrat, stated in a memo on Wednesday: "We have repeatedly stated that we believe Ethereum is the biggest deal over the next ten to fifteen years."
Lee noted that the majority of stablecoin projects and crypto-related projects on Wall Street are built on Ethereum's infrastructure.
Ethereum, the native currency of the Ethereum network, has risen by more than 50% since the passage of the "GENIUS Act" legislation last month, which establishes regulatory frameworks for the stablecoin industry.
The recent announcement by the U.S. Securities and Exchange Commission (SEC) about the "Project Crypto" initiative, aimed at updating the agency and establishing clear regulations for the digital asset industry, has contributed to the strong upward wave for Ethereum.
Record price forecasts
Fundstrat expects the price of Ethereum to reach levels that could reach $15,000 before the end of the year. The currency has risen by 16% over the past five sessions, compared to Bitcoin's increase of 4%. Legislative and regulatory support for the market.
Tom Lee, head of research at Fundstrat, stated in a memo on Wednesday: "We have repeatedly stated that we believe Ethereum is the biggest deal over the next ten to fifteen years."
Lee noted that the majority of stablecoin projects and crypto-related projects on Wall Street are built on Ethereum's infrastructure.
Ethereum, the native currency of the Ethereum network, has risen by more than 50% since the passage of the "GENIUS Act" legislation last month, which establishes regulatory frameworks for the stablecoin industry.
The recent announcement by the U.S. Securities and Exchange Commission (SEC) about the "Project Crypto" initiative, aimed at updating the agency and establishing clear regulations for the digital asset industry, has contributed to the strong upward wave for Ethereum.
Record price forecasts
Fundstrat expects the price of Ethereum to reach levels that could reach $15,000 before the end of the year. The currency has risen by 16% over the past five sessions, compared to Bitcoin's increase of 4%. Some companies have also started raising capital to add Ethereum to their balance sheets, similar to MicroStrategy's strategy of storing Bitcoin in its institutional vaults.
Increasing investment flows
Spencer Hallarn, global head of over-the-counter trading at the cryptocurrency investment firm GSR, told Yahoo Finance that investment flows into Ethereum from digital treasury companies have supported the price increase.
He added: "This positive momentum in prices has enhanced more enthusiasm among investors and inflows into this sector."
For example, BitMine Immersion Technologies, led by Tom Lee from Fundstrat, announced on Tuesday plans to sell additional shares worth up to $20 billion to increase its holdings of Ethereum.
The company ultimately aims to acquire 5% of the total Ethereum circulating globally, while its shares have risen by about 80% over the past five days.
At the same time, shares of SharpLink Gaming, a company specializing in gaming and sports betting, and blockchain technology company BTCS, which follow similar strategies, rose by 8% during the last five sessions.