Ether climbed about 8% to $2,287 with a market capitalization of $250 billion. One reason for this surge is because the second largest cryptocurrency is undervalued when compared to Bitcoin. With the Berlin Fork, Ether’s new capitalization is ahead of Coinbase’s $100 billion market capitalization. The latter introduced direct listing in a bid to encourage new users to join the crypto space, but ETH price is surging at the moment for carrying institutions along with their recent upgrade. The backdrop of this move pushed ETH’s price to 205% and promises to bring positive indices going into the future.
The Berlin Hard Fork Disrupted The Ethereum Network And Increased ETH’s Price
The Berlin hard fork is a major update to the Ethereum network that includes four significant changes. The upgrade introduces new transaction types and for end-users, a huge takeaway is a reduction in gas fees.
The Berlin hard fork on the Ethereum blockchain yesterday pushed Ethereum in the league of the big guys. At the moment, Ethereum skyrocketed to $2,500 for the first time. As at press time today, Ethereum was traded first around $2,503 before hitting $2,498 yesterday.
Unlike Bitcoin that gained 0.37%, Ethereum managed to outperform bitcoin after the Berlin hard fork went live. The upgrade is a preparation for the larger London hard fork that is coming in July. The next fork facilitates four Ethereum Improvement Proposals known as EIPs.
The Derivatives Market Exploded ETH Price
Apart from the buzz that Ethereum has generated, the derivatives market is another facilitator of the hype surrounding new ETH prices within the Ethereum network at the moment. The Berlin hard fork redesigned Ether as a crypto asset within the crypto space, with specific privileges for institutional CME futures contracts. This major shift and attention to disrupting institutions ushered in enthusiastic investors that are vying to purchase ether’s options in the market. There is a shared belief amongst Investors and speculators that thinks that the Berlin fork ushered a new relief.
The Berlin Fork is a Huge Milestone For The Token Economy
Also, the Berlin fork is a huge trailblazer for Ethereum and a milestone for the digital ecosystem. As a result, the value of ether in the options market rose to $3billion.
The $4.75 million capital disbursement by Rothschild investment into the Grayscale Ethereum Trust perhaps contributed to the spike in ETH price and value.
The Berlin fork ushers in interesting realities for the Ethereum network, and the next one called the London fork will endow Ether with more scarcity. With the introduction of ether’s ability to burn after transactions, the deflationary potential of ether and its direction towards scarcity will eventually transform Ethereum into the scarcest crypto asset, even more than bitcoin.