Ethereum Surges to Highest Level in 2 Years, Reaching $3,200

Ethereum reached a milestone, surging to $3,200, marking its highest point since April 2022, with a notable 3.6% gain on the day. Notably, the imminent Dencun upgrade scheduled for mid-March and the potential approval of an Ether spot ETF in May are key events on the horizon.

Anticipated catalysts for Ethereum’s upward trajectory include the forthcoming Dencun upgrade in March, the Bitcoin halving in April, and the decision on the spot Ether ETF in May.

The Dencun upgrade is poised to tackle scalability challenges and introduce proto-danksharking to enhance the network’s speed, fostering cost-effectiveness through Layer-2 solutions.

In sync with Bitcoin’s bullish movement, Ethereum is positioned for significant growth. A report from Standard Chartered has projected that, should a Spot Ether ETF receive approval in May, prices could soar beyond the $4,000 mark.

Analyzing Coinglass data reveals an Open Interest of $11.35 billion, reflecting a 1.95% increase and reaching its peak, marking the highest levels witnessed in over two years.

The current funding rate has soared to its highest levels since November 2023, signaling a surge in new capital inflows attributed to heightened speculative interest and increased hedging activities.

A seasoned Bitcoin enthusiast, often referred to as a “Full-time Degen,” observes that Ethereum has successfully surpassed the fourth resistance encountered in February, conquering the previous three in its second attempt. Expressing a bullish sentiment, he predicts a short-lived resistance for Ethereum, anticipating the imminent arrival of a bull market and the revival of its former all-time high.

Renowned cryptocurrency trader Altcoin Sherpa took to Twitter to share insights, while another expert, Rekt Capital, envisions Ethereum on the brink of achieving a historic monthly close.

Major financial players, including BlackRock, VanEck, and Grayscale, eagerly await regulatory approval for a spot Ether ETF in May 2024. Notably, Coinbase has recently been designated as the custodian in five out of eight Ethereum ETF applications.

Despite the anticipation, prediction market traders assign only a 44% likelihood of approval by May 31. As of the current writing, Ethereum is actively trading at $3,200, marking a 3.6% gain over the past 24 hours.