After a recent slump across cryptocurrency markets, Ether has surged to new all-time highs off the back of a number of important events and metrics. Overall, 2021 promises to be a crucial year for the Ethereum blockchain as developers continue to work toward the network’s integration with Eth2, which will see the blockchain part ways with its original proof-of-work consensus algorithm in favor of the touted energy and cost-efficient proof-of-stake consensus.
While the technical details may not concern many day-to-day Ether (ETH) users and traders, the recent price action of ETH, coupled with a number of significant events, suggests that the momentum that has led to ETH hitting a new all-time high at the end of April could continue for some time.
The price of ETH has risen by around 15% over the past week, which is also noted as the world’s second-biggest cryptocurrency by market capitalization, reaching a record $312 billion. The price of ETH continued to rally on April 28 as news broke that the European Investment Bank is launching a “digital bond” sale on the Ethereum blockchain.
These bonds carry significant value, to the tune of around $120 million over two years, with financial service heavyweights Goldman Sachs, Banco Santander and Societe Generale leading the management of the bonds. Most importantly, the bonds have been registered directly on the Ethereum blockchain.
The Ethereum ecosystem celebrated another milestone toward the end of April, as major decentralized finance platforms Uniswap, Compound, Maker and other leaders are on the way to surpassing the $73-billion mark for the net value locked into their smart contracts on the Ethereum blockchain. This marks an $18-billion increase in one month.
Another factor driving the price of ETH to new all-time highs is record open interest in Ethereum options contracts, which reached an all-time high, valued at around $4.2 billion in April. As previously reported, $930 million of these options were set to…