Ethereum reaches highest value in four months surpassing US$3,500
The price of Ethereum (ETH) It briefly surpassed the US$3,500 mark on Monday morning (25), reaching its highest value in four months.
Since then, the cryptocurrency has retreated slightly to $3,467, still up 4.1% on the day and 12.7% over the past week, according to data from CoinGecko. This was the biggest weekly gain among the top five cryptocurrencies by market cap.
Despite being the target of criticism in recent months due to gains considered inferior to those of other major cryptocurrencies, Ethereum has shown superior performance recently. Since the beginning of the year, ETH has appreciated 49%, while Bitcoin (BTC) is up 133% and Solana (SOL) is up 150%.
However, in the most recent period, Ethereum outperformed its competitors, rising 12.4% in the last 7 days, while Bitcoin and Solana grew 7.9% and 2.2%, respectively.
This appreciation led to the liquidation of US$24.6 million in Ethereum short positions in the last 24 hours, as pointed out by CoinGlass.
Factors that drove the Ethereum rally
The upward movement comes amid a recovery in Ethereum-related exchange-traded fund (ETF) flows. On Friday, these ETFs recorded inflows of US$91.3 million, after a period of six consecutive days of outflows, which totaled US$222.7 million.
Furthermore, the cryptocurrency market in general has experienced a positive outlook since the election of Donald Trump as the 47th president of the United States. The Republican made several pro-crypto promises during his campaign, including the creation of a Bitcoin strategic reserve and the end of regulatory restrictions imposed by the SEC on the sector.
While many of Trump's announced initiatives are related to Bitcoin, he and his family are also associated with an Ethereum-based project called World Liberty Financial. According to information released, the project, which functions as a lending and financing platform, also plans to issue a stablecoin linked to the dollar. Despite the association with Trump, the project's website states that neither he nor his family members have official positions in the company.
Currently, Ethereum is still 28.4% below its all-time high of $4,878 set in 2021, according to data from CoinGecko.