Ethereum’s price swings high and low. Today, the number two crypto is up big time after falling hard in the prior 24-hour period.
Ethereum posted the biggest gain among the larger capitalized cryptos in the last 24-hour period, jumping 20.19%, according to coinmarketcap.com. Its 24-hour gain vastly outdid bitcoin’s 4.79-point gain.
Its swings in both directions have been larger than bitcoin’s. Ethereum’s price tumbled from $391.51 June 13 to $262.38 on June 26, then rebounding to $321.83 on June 28.
Some attributed the June 26 fall to the false rumor that co-founder Vitalik Buterin had died in a car crash. Buterin, true to form, used the Ethereum blockchain to prove he was still alive.
Ethereum Chases Bitcoin
Ethereum continues to chase bitcoin for the lead share of crypto market capitalization, holding $30.821 billion compared to bitcoin’s $42.558 billion. On June 27 Ethereum held 25.03% of total crypto capitalization, compared to 5.7% on Feb. 20. Bitcoin, by contrast, held 42.47% on June 27 versus 85.58% on Feb. 20.
The only crypto to gain more than Ethereum in the last 24-hour period was AntShares, which at a $430.46 million market cap, is the 15th largest crypto. Antshares posted a 24.5-point gain.
Looking at a longer term, Ethereum’s price has remained well above the lower teens which it held all year up until beginning its fast climb in March.
Nicola Duke, a Forex Analytix technical analyst who uses historical price data to determine future price movements, predicted in late May that Ethereum, which was still an explosive growth path, could experience a 38.4-point fall from its then $227 price.
Duke also said breaking through the $377 price point would be key for Ethereum. That point, according to Duke, was the “resistance level,” the point that traders reach but don’t surpass.
Ethereum’s next challenge is to reach $467. Duke uses historical price data to determine future price movements.
Also read: Ethereum, bitcoin prices rally as crypto markets storm back
Bitcoin’s Influence On Ethereum
The swings of the last few days indicate that bitcoin’s vitality or lack thereof has an exaggerated impact on Ethereum, as well as other altcoins. The level of interest in bitcoin affects interest in altcoins that can deliver better gains. The expansion of ICOs has also raised awareness of altcoins.
While bitcoin impacts altcoins, there is also fundamental demand for Ethereum. Ethereum supports smart contracts, which has attracted significant interest among financial institutions and other companies.
Featured image from Shutterstock.
