Ethereum, the second most valuable cryptocurrency and Bitcoin‘s main competitor has crossed the $3,000 mark today, with a value of $3,175 at the time of publishing.
Vitalik Buterin, the co-founder of Ethereum, has been the world’s youngest crypto billionaire, with over 330 thousand ETH valued at over one billion dollars. The popularity of digital collectibles and the NFT boom, as well as the rise in DeFi items that are common on the network, have all contributed to Ethereum’s meteoric rise over the last four months.
Coinbase’s Nasdaq listing last month boosted the crypto sector’s positive sentiment, demonstrating that investors are eager to accept the industry despite its volatility and growing regulatory scrutiny.
Though Bitcoin remains the most popular cryptocurrency, other tokens are gaining popularity. BTC’s supremacy is dwindling as other tokens attract investors, while ETH’s is growing at its cost. The fact that the price of Ethereum gas has fallen to a three-month low has helped traders on Ethereum-based DeFi protocols and DEX platforms.
The crypto space is challenging conventional institutions, with ETH currently outvaluing a range of traditional institutions such as PayPal and now Bank of America in terms of market valuations.
DeFi, which is based on Ethereum, has reached a new peak of $78 billion. As a result, other tokens and coins will have more chances to increase their market value.
Critics claim that the crypto space is experiencing a stimulus-fueled boom. At the same time, proponents argue that it is a sign that investors are becoming more acquainted and comfortable with a variety of tokens and cryptocurrencies beyond Bitcoin.