Crypto Market Dominance of Ethereum Touches 21%

[RSRS]

Ethereum, the world’s second-largest digital currency, saw a strong bullish rally on Friday after ETH touched the price level of $3,980, the highest level since May 2021. Ethereum is currently eyeing its all-time high of $4,170.

According to Coinmarketcap, the latest rally in Ethereum is causing a sharp surge in the overall crypto market dominance of ETH. The digital asset now accounts for approximately 21% of the total crypto market cap.

On the other hand, Bitcoin saw a drop in its overall share of the crypto market as BTC’s dominance reached 41%. Ethereum is now up by more than 25% in the last seven days. The total market cap of ETH increased by more than $100 billion within this week.

“ETH is surging today and looks close to breaching the $4,000 level. This rally takes it closer to ETH’s all-time high of $4,177 set in mid-May this year. Often, other than general market sentiment, it can be hard to identify why a particular asset is rising in value, as momentum can carry values higher. But in the case of ether (ETH) right now, a number of factors are creating significant upward pressure on the price of the coin. Firstly, the number of transactions happening on the Ethereum network is increasing again, but perhaps more significantly the gas being used on the network is near all-time highs,” Simon Peters, Market Analyst at eToro, commented.

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[Fenix]

The growth in the price dominance of ethereum in the cryptocurrency market is already more than 20 percent and the simultaneous decrease in such dominance of bitcoin to 41.5 percent makes me very happy. The rigid price dominance of one cryptocurrency in a decentralized market clearly does not paint such a market. I think that it will work much better if there are several dominants. In the future, the price dominance of other cryptocurrencies will also grow. Bitcoin and ethereum will have a growing number of worthy rivals and, in general, the market will only benefit from this. I think that there will be no long bearish periods, because each dominant cryptocurrency will have its own price movement.