Ethereum rises above $2,700
ETH price hits highest level since February, helped by institutional inflows worth $500 million.
The ETH price reaches its highest level since February, helped in part by institutional inflows worth $500 million.
Ethereum's price continues its spectacular rebound over the past few days and breaks back through the $2,700 threshold for the first time since February. ETH is up more than 51% on the week. Just a few weeks ago the price was under $1,500.
Since the Pectra upgrade on May 7, sentiment among many Ethereum investors has noticeably shifted. The upgrade brings substantial technical improvements to Ethereum. After years of stagnation, the Ethereum Foundation is once again providing incentives to make the mainchain more scalable.
On-chain data also show institutional investors returning interest in the second-largest cryptocurrency by market cap. In less than a week, London-based asset manager Abraxas Capital reportedly bought nearly $500 million worth of ETH.
Additionally, easing inflation in the United States boosts prices of stocks, Bitcoin, and the broader crypto market. Ethereum also benefits here.
“ETH is finally catching up after lagging behind BTC for most of the year,” says Min Jung, an analyst at Presto Research.
“The recent Pectra upgrade has helped restore confidence. And with the ETH/BTC ratio down almost 40% since the start of the year to 0.02, it's not surprising that buyers are stepping in at this level.”
The recovery in recent days has traders hopeful that Ethereum will reclaim its former shine. The price is less than 12% away from the psychologically important $3,000 level.
Last Thursday alone, ETH rose more than 20%. That was the best daily performance since May 2021.
