As the larger crypto currency market emerges from its rut, Ethereum approaches heights unseen shortly after the merger in the crypto market.
The price of Bitcoin surpassed $20,000 for the first time in weeks, Ethereum rose above $1,500 for the first time since the post-merge turmoil, and the whole market surpassed $1 trillion after three weeks below that threshold. These price increases indicate a recovery in the crypto currency industry.
According to data from CoinGecko, the price of one bitcoin has increased by 5% so far today to $20,322. The site claims that today is the first day since October 7 that the price of the most popular cryptocurrency has been above $20,000, after weeks of just little movement under that threshold.
Ethereum’s price has increased significantly today, rising 12% in the last day to $1,500. This is the first time Ethereum has surpassed the $1,500 level since September 15, when the price of ETH sharply dropped after the network’s successful merge upgrade. It increased marginally to $1,507 before falling.
Other well-known cryptocurrencies are also up significantly today, with Solana up 12% to almost $32, Cardano up 14% to $0.41, and Polkadot up almost 9% to $6.50 per token.
According to CoinGecko, the total market valuation of the cryptocurrency industry is currently $1.03 trillion, up more than 6% today. Since October 4, the market has not crossed the $1 trillion threshold.
What’s causing the market to be so green right now? Macroeconomic trends are cited by analysts, and the stock market is up today as a number of significant corporations report profits. Edward Moya, a senior market analyst at OANDA, also suggests the possibility that the U.S. Federal Reserve would soon scale back its impulsive plan to raise interest rates.
In an email to Decrypt, Moya stated that “Both Bitcoin and Ethereum are gaining steam as Wall Street musters up a couple of good sessions.” Investors are becoming more convinced that the Fed will be in a stronger position to downshift its tightening pace following next week’s FOMC meeting as a result of the economy continuing to show indications of weakness.
