July 2, 2022
  • July 2, 2022

Ethereum cryptocurrency surpasses $ 4,000 for the first time

By on May 10, 2021 0

Cryptocurrency has caught the attention of more investors this year.

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On May 5, 2020, an Ether token was worth $ 186. A year later, on Sunday night, the cryptocurrency hit $ 4,000 for the first time, an increase of over 2,100%. Although Dogecoin attracts most of the global attention to cryptocurrency, May has already been huge for Ethereum, as Sunday’s milestone comes barely a week since the cryptocurrency hit $ 3,000 for the first time.

Ether is a cryptocurrency minted on the Ethereum blockhain. Bitcoin, the most famous currency, is built on its own separate blockchain. But while Bitcoin is more like gold, mainly used as a speculative asset, Ether is used by cryptocurrency traders to buy and sell. “altcoins“, like Dogecoin. NFTs, tokens that authenticate ownership of a digital product, are notably bought and sold using Ether, not Bitcoin.

The Ethereum blockchain was founded in 2013 by Canadian-Russian programmer Vitalik Buterin when he was just 19 years old. Buterin has over 333,000 Ether tokens – it is possible to see the portfolios of other traders if you have their portfolio address – which at the current price values ​​their holdings at over $ 1.36 billion.

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Buterin, 27, is now a billionaire.

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The cryptocurrency now has a market cap of over $ 460 billion. It has grown rapidly over the past year, mostly in anticipation of its relaunch as Ether 2.0, but this latest rally is linked to the announcement last week that the European Investment Bank issued $ 120 million (€ 100 million) in bonds. using the Ethereum blockchain. DogeCoin also hit a new high of nearly 70 cents this week after its listing on eToro – before dropping to around 50 cents after Elon Musk’s SNL appearance.

Coins like Bitcoin and Ethereum have increased dramatically since late 2020 for many reasons, including the growing adoption of cryptocurrency by big tech and the Coin Base IPO Success. The price of Ethereum has also increased in anticipation of Ether 2.0, which will change the fundamental way in which tokens are minted. Without getting lost in the technical mumbo jumbo – you can read here if you are interested in the difference between proof of work and proof of stake – ether 2.0 promises to be more efficient, which will be good for traders and the planet.