Back

Ethereum (ETH) Gas Breaks Above All-Time High. Will Price Follow?

News
Mon, 06/22/2020 - 12:23
article image
Vladislav Sopov
A couple of Ethereum (ETH) network usage metrics surged today. Analysts are guessing how long it will take for the Ether price to reflect this spike
Ethereum (ETH) Gas Breaks Above All-Time High. Will Price Follow?
Cover image via stock.adobe.com
Contents

According to statistics from the Glassnode on-chain data vendor, Ethereum (ETH) has surged above 70B units for the first time in its history. Analysts and traders are attempting to figure out whether this will result in price growth.

Ethereum (ETH) network usage skyrockets

Today, the 'Ethereum Gas Used Total' statistic from the Glassnode data studio broke above the enormous level of 70,000,000,000 units. To compare, on Black Thursday it was 13.3% lower.

Ethereum (ETH) network usage spikes
Image by Glassnode

In 2019, this metric surged above 60B only once due to market 'greed' euphoria caused by the 'Xi Spike' in Q3. Typically, this number stayed in the 40-55B range.

This isn't the only metric of Ethereum (ETH) network usage that went through the roof on Monday. As recently covered by U.Today, the quantity of non-zero Ethereum (ETH) addresses also reached a new ATH, above 41,959,507 wallets.

Furthermore, someone has moved 300,000 Ether or $68.4M, between unknown wallets. This activity was registered by the automated service Whale Alerts.

And what about the price?

This upsurge in numerous meaningful metrics of the Ethereum (ETH) network can be attributed to a couple of factors. First of all, there is insane growth and euphoria around the DeFi segment. As previously covered by U.Today Crypto News, it is DeFi applications that use a substantial share of the Ethereum (ETH) resources.

Also, the enormous activity of the Ponzi schemes that use Ether-based stablecoins can overload the Ethereum (ETH) network. 

However, the Ethereum (ETH) price is lagging behind the network usage. It surged only 2% on main spot platforms in the last 24 hours. But Dutch cryptocurrency analyst and trader Michael van de Poppe believes that the Ethereum (ETH) price will still target $300 in a matter of weeks.

Michael van de Poppe predicts Ethereum (ETH) price may grow
Image via Twitter

Also, seasoned investor Ryan Sean Adams believes that Ethereum (ETH) will benefit from DeFi growth:

Good for DeFi = Good for ETH

article image
About the author

Blockchain Analyst & Writer with scientific background. 5+ years in IT-analytics, 2+ years in blockchain.

Worked in independent analysis (Crypto Briefing) as well as in start-ups (Swap.online, Monoreto, Attic Lab etc.)

Grayscale Assets Under Management Surge $300,000,000 in One Day. What Does This Mean?

News
Fri, 10/23/2020 - 09:24
article image
Vladislav Sopov
Grayscale, undisputed giant of institutional crypto investments, is celebrating another monstrous milestone, adding a nine-digit sum to AUM in 24 hours
Grayscale Assets Under Management Surge $300,000,000 in One Day. What Does This Mean?
Cover image via stock.adobe.com
Contents

Grayscale is an investment company that provides the clients with an exposure to digital currency markets eliminating the need to buy tokens. The firm does it by selling shares of 'trusts' related to certain digital assets. The recently started FOMO has already brought Grayscale's 'asset under management' (AUM) values to previously unseen levels.

Grayscale assets are on steroids

In its most recent report shared in a tweet, Grayscale Investments stated that its net AUM now surpasses $7,300,000,000. Mostly, this upsurge should be attributed to the spikes of Bitcoin (BTC), Ethereum (ETH) and Litecoin (LTC) prices.

Grayscale adds $300M to its AUM in 24 hours
Image by Twitter

Its founder, CEO of Digital Currency Group Barry Silbert, unveiled that Grayscale’s holdings added a whopping amount of value in the last 24 hours.

Added a cool $300 million in AUM in one day

In terms of separate ‘trusts’, the most impressive increase is associated with Litecoin (LTC). Its value added almost 10% bringing its total to over $34 mln. 

Bitcoin (BTC) allocation surged above $6 bln with a 5% increase. Notorious Grayscale Ethereum Trust (ETHE) added 6% and now is valued at $942 mln.

PayPal assists Grayscale

By contrast, Stellar Lumens (XLM) and Bitcoin Cash (BCH) trusts witnessed mediocre increases of 2-3%. The only integral product of Grayscale, Large Cap Trust that unites the most valuable coins under its umbrella, therefore, added less than 4%.

The numbers of Grayscale Investments positions rocketed due to the rapid spike of crypto prices associated with PayPal’s decision to add major digital assets to its instrument toolkit.

As covered by U.Today previously, PayPal announced that Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC) and Bitcoin Cash (BCH) will be added as payment methods by the end of this year.

  

Following this surprising news, Bitcoin (BTC) revisited its multi-months high over $13,000. At press time, its price has slightly retraced and flirts with the $12,800 level.

article image
About the author

Blockchain Analyst & Writer with scientific background. 5+ years in IT-analytics, 2+ years in blockchain.

Worked in independent analysis (Crypto Briefing) as well as in start-ups (Swap.online, Monoreto, Attic Lab etc.)