The second-largest crypto-asset by market cap, Ethereum, has finally broken through the last ATH of $4,380 and hit a new record high of $4400 early this morning. This is coming on the back of the recent Bitcoin all-time high of $66,990.
The asset had signalled further gains after crossing the $4000 resistance level on October 20. The breakthrough at the $4k level confirmed a new bull run that the asset has attempted for long.
Available information identified several factors as the drivers of Ethereum’s upward moment in the year. One such is the burgeoning crypto niche NFT. The trend and boom of the sector have primarily influenced the price of the second largest crypto asset.
Equally, the new fee-burning mechanism proposal, EIP-1559 introduced months ago, is another driver. No fewer than 670,000 ETH worth $3 billion had been burned since the implementation of the upgrade.
Though the price of digital asset is now cooling from its $4400 mark, it does not appear like the end of the coin’s upward move, as bullish continuation pattern projects a 135 percent additionally gains, which could come through if there is an increased buying pressure. If this happens, it will send Ethereum’s price up nearly double the current price.
The bullish pattern project a $9,350 price mark; however, this actualization is tied to Ethereum’s ability to maintain above $4k that is considered a crucial level. If otherwise, it could cause market panic and heightened selling pressure. This would drag the asset back to $3,400 or $3,200 level.
At the time of writing, ETH was trading around $4,340, and its market cap stood at around $512.8 billion.