Ethereum (ETH) Tops $1800 Levels With Flood Of Institutional Money

09. Feb 2021 Posted by Akolkar B on News

The world’s second-largest cryptocurrency Ethereum (ETH) has shot up strongly over the last few days growing more than 28% over the last week. The ETH price hits a new all-time high of $1800 earlier today as the CME Ether Futures went live on Monday, February 8.

However, ETH has retraced back from its highs and at press time, it is trading at $1726 with a market cap of $197 billion. However, the recent price rally in Ethereum (ETH) comes amid a flood of institutional coming into ETH.

A significant part of institutional inflows last week went to Ether products. While the crypto market saw a net inflow of $245 of institutional money, Ethereum (ETH) dominated 80% of it. Investors are looking to diversify and are growing increasingly comfortable with Ethereum fundamentals. Bitcoin had its lowest inflows (US$42m) since the all-time highs were achieved in the week ending 8th January 2021.

As we now, the Grayscale Ethereum Trust (ETHE) purchased over 80,000 ETH coins last week amounting to more than $200 million. The net assets under management of the Grayscale Ethereum Trust (ETHE) is now more than $5.0 billion.

Analysts have been expecting institutional money coming to Ethereum post the launch of CME Ether Futures. The next target for Ethereum currently stands at $2000. However, it remains to be seen whether ETH will head straight north or whether it will see some pullback before starting the upward journey.

In addition to Ethereum, a number of altcoins have rallied in the last few days. Over the last few days some of the top-performing altcoins have Cardano (ADA), Polkadot (DOT), Chainlink (LINK), and Dogecoin (DOGE).

Cardano and Polkadot have recently climbed up the ranks surpassing XRP to become the fourth and the fifth largest cryptocurrencies by market cap. Just like Ethereum, both these cryptocurrencies have seen a strong rally with the surge in DeFi activities.

On the other hand meme cryptocurrency Dogecoin (DOGE) has rallied massively over the last weekend receiving big support from the world’s richest man Elon Musk.