The price of Ethereum, the first Altcoin by market capitalization, continues to rise. Only yesterday, Monday 3 May, the native token of the homonymous decentralized platform had broken through the $ 3,000 threshold for the first time in history, bringing the year-on-year increase to + 1397% . Today, however, another intraday peak at 3,456 dollars , before retracing towards 3,370 : a blaze that is worth (for now) a jump of 26.9% in a week, enough to obscure the first digital currency on the market, the Bitcoin.
But what is fueling Ethereum’s repeated price pumps? From behind-the-scenes technologies to the moves of the European Investment Bank (EIB) , here is the real engine of the crypto bull run.
Record-breaking Ethereum, why does the price continue to rise?
Ethereum, first of all, is not only a currency that competes with Bitcoin, but also a network – or blockchain technology – that developers of all sorts can use to develop their apps (such as, for example, those that reproduce products financial in a decentralized key). In this sense, the upgrade of the network , the nom de guerre Ethereum 2.0, is planned , which will sanction the transition to a proof-of-stake mechanism, guaranteeing greater security and scalability .
In short, from everywhere there is a widespread interest in the use of Ethereum in the DeFi field, decentralized finance . The offer of financial services, including loans, based on blockchain technology is increasing, and in fact offers the possibility of bypassing the mediation of banks and brokers . Scenarios that are inevitably “boosting” the price of the token, flagship of Buterin’s network, the brilliant Russian-Canadian programmer behind the project.
Bei also pushes Ethereum
Ethereum, as known, has also capitalized (indirectly) the success of Bitcoin , which ended up in the pockets of large US corporations (see Tesla), hedge funds and international card circuit systems within twelve months. But now endorsements seem to rain on the ETH token as well.
For example, the EIB chose the Ethereum blockchain network to launch its first digital bond with a two-year maturity and a value of over 100 million euros . A choice that could now also heat up the other international banks, which have long been approaching BTC & Co., Thus continuing to support the rise of the crypto.