- Ethereum ended August dramatically when it hit the $490 mark before crashing
- The price of the coin is currently changing hands at $370 and 25% below August’s highs
- Analysts believe that the price of ETH could shoot higher since the macro trend is bullish
Ethereum News Today – the price of Ethereum dramatically ended August after it reached the $490 mark. It was soon approaching this point that it crashed. The price of Ethereum is currently changing hands at $370 at press time. This position is still 25% below the high point from August. Now digital asset analysts expect the price of ETH to shoot higher as the current macro trend for the digital asset remains bullish. The price ETH must hold a crucial support position in the $300 range. This is the only way it can decisively surmount its YTD (year-to-date) highs of $400.
Institutional Investors are Getting Bullish on Ethereum
Institutions and technical analysts are becoming bullish on ETH. Grayscale Investments has recently revealed that it has a huge chunk of the Ether in circulation. Digital asset analysts believe that ETH is on track to reach $600-$700 in the coming months or even years as long as it maintains the pivotal support position within the $300 area. The head of technical analysis at a crypto-asset research company, Blockfyre, said this on the matter recently:
“With 2021 becoming glaringly obvious only the patient ones will win. However, there are trades to be taken. The $700 mark is likely closer than ever. Phase 0 of ETH 2.0 is set to launch in one week. This could be one of the bullish catalysts for the coin although it doesn’t look as bullish as Bitcoin. I refuse not to have it in my portfolio. ETH is the lifeline of altcoins. The asset will experience massive changes.”
One analyst stated that a macro analysis of the digital asset suggests that as long the $350 price position holds, the token will be able to get to $700 in the future.
The Accumulation of ETH by Institutions Improves the Chance of a Rise
There’s an institutional part of the ongoing market trend for Ethereum. This is boosting the chance of the asset to moves toward the upside. According to Barry Silbert, the founder, and CEO of the Digital Currency Group (a leading digital asset investor) Grayscale Investments owns over 2% of the entire Ethereum in circulation. This means that the firm holds a whopping $800 million in ETH (or approximately 2.2 million ETH tokens). Institutions are accumulating the coin as the DeFi (decentralized finance) revolution continues to grow. The head of DTC Capital Spencer Noon, had this to say on the matter:
“My analysis on DeFi after speaking with institutional investors, fund managers, OTC desks, and FOs in the past few weeks shows that the herd is coming. They are happy about DeFi but still new to it. No wonder they’re buying ETH first.”
Analysts believe that the continued institutional investments in Ethereum’s ecosystem will continue to drive the coin’s price higher.