Ethereum price predictions remain optimistic as the coin sees another month of growth. The second-largest cryptocurrency has hit another all-time high on Tuesday, reaching over $4,820. However, it has slipped back to about $4,750.
Why Is Ethereum Growing?
Ethereum has grown steadily since June. Here’s what experts think about its recent increase in price.
Sam Kopelman, UK manager of crypto exchange and wallet Luno, stated that Ethereum is simply following Bitcoin’s growth. Bitcoin and Ethereum were climbing on Tuesday morning as Bitcoin’s movements happened after 17 days of consolidation.
Another reason behind the price increase can be interest in decentralized finance — DeFi.
With this new trend, cryptocurrency users can create financial applications for lending and trading on the blockchain. Also, there’s an increased overall interest in crypto. This leads to more investments occurring on the market, as seen with the latest Bitcoin ETF.
When it comes to ETFs, they opened the market for traditional investors who can now purchase a set of diversified portfolios instead of a single asset.
The latest Ethereum price predictions show that this coin has the power to surpass Bitcoin and become the primary currency at one point. Some experts wouldn’t be surprised if it happens during this cycle.