At the time of writing, Ethereum
$0.000068 has surged past $4,400, driven by two significant developments. The first is a favorable inflation report supporting interest rate cuts. The second is a massive acquisition plan by the largest Ethereum treasury company. There are predictions that ETH might soon hit the $5,000 mark.
Why is Ethereum Rising?
The price of Ethereum has been driven upwards by BitMine’s potential $24.5 billion ETH acquisition. Additionally, there is increased demand for ETH via ETF channels. After several years, ETH is now above $4,400, and it might soon exceed $4,800, reaching a new all-time high.
Ethereum’s treasury company, BitMine, has raised the total amount of common stock eligible for sale to $24.5 billion under the Sales Agreement. With a newly published prospectus, if things progress as expected, the company’s assets could quickly surge towards $30 billion. Currently, the total assets of all ETH treasury companies stand at $10 billion. With an additional $5 billion purchase approved last Friday, adding $24.5 billion would push the updated reserve size for all these companies over $40 billion.
Moreover, considering the acceleration in ETH inflow, it can be said that a hype period for Ethereum has begun. Leading Ethereum-related altcoins like PEPE and LDO might experience sudden spikes today.
For the first time in its history, ETH witnessed an ETF inflow exceeding $1 billion yesterday. Institutions seem to be aware of certain developments. In the ETHBTC pair, the $0.037 resistance level was recently breached, and now maintaining this level while targeting the $0.04 to $0.05 range is essential.
