Ethereum Hits Record Price as Potential Supply Crunch Looms

[Rakin343]

It’s a good day to be an Ethereum investor, as the price of the coin set a new all-time high price of $2,665—potentially signaling the start of a new rally.
The timing is likely not coincidental. Last week, the first Ethereum ETFs began trading in Canada. These products allow institutional investors to buy into ETH without purchasing the actual cryptocurrency, circumventing the need to deal with crypto exchanges or digital wallets. What’s more, an upcoming change to the Ethereum network that will effectively reduce the supply of ETH has holders feeling bullish.
Ethereum (ETH) started the week trading at around $2,400, having fallen by around $200 since hitting an all-time high price of $2,646 last week. It's currently trading for about that price now, up 5% on the day, according to data from Nomics.
ETH has been on an incredible run in the last year. Buoyed by booms in both the decentralized finance (DeFi) and NFT sectors, the price of Ethereum has skyrocketed by more than 1,000% since early 2020. (Bitcoin, by contrast, has increased in value by about 600%.)
DeFi is a catch-all term for a group of financial products that enable users to lend, borrow, and trade digital assets without any intermediaries. This essentially allows for bank-like services without the need for a bank, with services such as Uniswap, Compound, and Aave becoming increasingly popular among a growing number of DeFi users. Source