Ethereum, the world’s second-largest cryptocurrency, hit an all-time high of $ 1,560 on Wednesday following substantial demand from retail and institutional investors. ETH price has gained over 100% since the beginning of 2021.
Ethereum’s total market capitalization has exceeded $ 178 billion today. Thanks to this, the cryptocurrency is now more valuable than the leading financial company Citigroup. Growth in DeFi, optimism about ETH options, and the notable activity of ETH whales played an important role in the recent rally.
Grayscale, the world’s largest crypto asset manager, recently announced the reopening of Ethereum Trust for accredited investors. According to the latest data provided by Kipto analytics company bybt.com, Grayscale has accumulated 24,796 ETH worth about $ 38 million in the last 24 hours. Grayscale currently owns over 2.96 million Ethereum with a total value of about $ 4.5 billion. Bitcoin remained Grayscale’s largest asset, as the crypto asset manager owns over 649,000 BTC worth more than $ 23 billion.
The price of ETH depends heavily on the activities of addresses holding large amounts of Ethereum. According to CryptoQuant data, the amount of ETH held in reserves of all central exchanges dropped to the lowest levels yesterday when Ethereum surged above $ 1,500 and hit an all-time high. In other words, investors have taken the ETH they own to their personal wallets, trusting that the price will increase even more. The number of whale addresses with at least 10,000 ETH reached a 13-month high, with more than 35 new ETH whale addresses created in January.
Ethereum’s price increase plays an important role in the growth of DeFi tokens. Chainlink, Uniswap, and Aave have all recorded record gains this year amid rising demand. As of the time of writing, ETH is trading around $ 1,540 with a total market value of $ 177 billion. The overall market cap of cryptocurrencies reached $ 1.1 trillion earlier today, its highest level in recent weeks.