Ethereum and Bitcoin rallied on Tuesday after an upcoming update with the dollar’s weakness and positive investor sentiment. Ethereum is up 9% in the last four days, while Bitcoin is up about 8%.
Dollar; The Canadian dollar fell heavily against major currencies such as the Japanese yen, pound and euro. A weaker dollar could provide support for assets like crypto and gold.
Another factor driving both Bitcoin and Ethereum was the new entrants to the market. Coinbase, one of the largest exchanges, was the most downloaded app in the US last week, according to GlobalBlock. “The positive performance of the digital currency is supported primarily by an organic buyout from both retail and institutional investors,” said Vasja Zupan, head of Abu Dhabi exchange Matrix Exchange. said.
According to some developers, the current rise is related to the fact that Bitcoin will be updated to the “taroot” this week, which will reduce gas fees for transactions and make the network more scalable. According to Zupan, Bitcoin has solid foundations that will not only help maintain the current uptrend, but also set new price highs several times before the end of the year.
Ethereum’s gains were supported by demand as well as technical developments. An update to the web has increased the burning rate of more products.
Bloomberg analysts last week predicted that the Ethereum futures-based exchange-traded fund could launch in the US early next year. Besides, Bakkt, a digital asset manager, said it plans to allow its customers to buy, hold and sell ETH through its app by the end of the year.
But not all investors are optimistic about Ethereum. “With Ethereum in currently uncharted water, price action could become increasingly volatile and therefore caution should be exercised,” Daily FX strategist Nick Cawley wrote in a note to clients on Monday. said. However, Cawley is more optimistic for Bitcoin. “The daily Bitcoin chart remains positive with the last bullish channel retraced over the weekend,” Cawley said.
As Bitcoin soared, crypto fans Tyler and Cameron Winklevoss brothers, the founders of Gemini exchange, helped fuel yesterday’s price spikes. Cameron Winklevoss said on Twitter on Tuesday that the next stop for Bitcoin will be $69,420. Tyler Winklevoss tweeted Tuesday, “68,000. The next stop is 70,000,” he said.
El Salvador President Nayib Bukele also welcomed the gains of Bitcoin. “Buy bitcoin and save the puppies!” gave the message. Bukele said on Twitter on Tuesday, referring to the fact that some of his country’s Bitcoin profits went to building a state-of-the-art veterinary hospital.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.