Ethereum is currently retesting September’s daily highs with the momentum pointing towards a new ATH.
Fundstrat Global Advisors indicated that the second-largest digital asset by market capitalization, Ethereum, could soon set a new record of $4,900. According to the company’s technical analytics, the rising market share of Ethereum is a major factor in its future growth prospects.
“Ethereum looks to be starting to gain on bitcoin after a near one-month period of underperformance throughout September,” Fundstrat said. According to market analytics provided by CoinGecko, Bitcoin enjoys a market share of approximately 45.1%. Whereas, Ethereum on the other hand commands approximately 17.5%.
Ethereum Could Set a New Record
Notably, the entire crypto market cap stands at $2.6 trillion, with the daily average volume at $111.7 billion. As a result, the entire crypto market cap has surpassed Apple Inc (NASDAQ: AAPL) that has a market valuation of approximately $2.39 trillion.
The renewed crypto bull market has coincided with a Bitcoin futures ETF set to start trading this week. The crypto community anticipates the first Bitcoin ETF will be approved soon. As a result, the rally is expected to sustain in the next coming weeks.
“A successful bitcoin ETF launch next week could easily support bitcoin’s run to record territory,” Edward Moya, senior market analyst at trading platform Oanda said. “Bitcoin mania has been brewing on social media platforms over the past couple of weeks.”
“[If] initial trading volumes are strong, bitcoin could have enough momentum to target the $74,500 region, and rally further to $85,000,” Moya said.
A Bitcoin ETF could further spell good times ahead for Ethereum and its ecosystem as a possible Ethereum ETF could soon follow. However, the unpredictable nature of the crypto industry leaves most investors skeptical if the bulls will sustain till the end of the year and beyond.
Crypto Industry Outlook
From a technical standpoint, Ethereum is currently retesting September’s daily highs with the momentum pointing towards a new ATH. However, the monthly candle for October is higher than last month’s close. An indication of the assets on a long-term bull market, as it is making higher-highs and higher-lows on the monthly chart.
The Ethereum ecosystem has undertaken notable upgrades in the past including the London update and the Berlin upgrade. However, the ecosystem is yet to deal with the challenge of high transaction fees and low throughput from later 1. Instead, layer 2 rollups like Polygon (Matic) have taken the initiative to help with the issue.
Due to the slow Beacon chain upgrade, Ethereum competitors like Cardano have sprung up in the past few months. Slowly eating up Ethereum’s market share.
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