- Ethereum hit $4,000 for the first time since December 2021 as the crypto market continues its bull run.
- ETH surged past $4K, fueled by momentum from the Merge upgrade and upcoming network improvements like Dencun.
- While ETH faces market volatility, speculation around potential Ethereum ETF approvals could further boost prices if approved by the SEC.
Ethereum has reached a major milestone, breaking above $4,000 for the first time since December 2021. This comes as the crypto market continues its bull run, with Bitcoin also hitting new highs.
ETH Surges Past $4K
The price of Ethereum surpassed $4,000 today, reaching $4,000 exactly on Coinbase for a 4.20% increase over 24 hours. ETH first crossed above $3,900 early Friday morning before briefly hitting the $4K mark and then dropping back down to $3,943.
This surge started in early February when ETH began climbing from around $2,300, hitting $3,000 just three weeks later. While returning to $4,000 is significant, ETH remains about 20% below its all-time high of $4,891 from November 2021.
The Merge Fuels Momentum
A major catalyst was September 2022’s Merge upgrade, which transitioned Ethereum from proof-of-work to proof-of-stake. ETH traded around $1,300 after the Merge before starting its run to $4K.
The #1 proof-of-stake blockchain kicked off March by preparing for the upcoming Dencun upgrade on March 13, which will add features and lower transaction costs. The amount of ETH staked recently grew 9% to around $116 billion.
Market Hiccups Along the Way
Ethereum’s climb faced obstacles, however. After hitting $3,500 Monday, the crypto market crashed Tuesday. ETH dropped from $3,816 to $3,398 before recovering to $3,778.
Speculation Around Ethereum ETFs
In January, the SEC approved several Bitcoin ETFs, leading to hopes of an Ethereum ETF. Despite the SEC delaying a decision on BlackRock’s ETH ETF, firms like Grayscale and Franklin Templeton are applying for Ethereum ETFs. If approved, these could further boost ETH.
The Road Ahead
With Ethereum regaining the $4K milestone, the cryptocurrency now has a market cap of $471 billion. While the market awaits potential ETF approvals, upcoming network upgrades like Dencun should continue fuelling Ethereum’s momentum.
