Ethereum, Ripple’s XRP, litecoin, and chainlink are the largest cryptocurrencies in the world after bitcoin, and they have suddenly increased this week.
Ethereum, XRP, litecoin and chainlink, with a combined market value of around $ 100 billion, have added between 20% and 50% this week, even surpassing the bitcoin rally.
While ethereum, XRP, litecoin, and chainlink were boosted by bitcoin’s growing reputation as digital gold through 2020, other cryptocurrency trends have also pushed them up.
This week, the price of ethereum surpassed $ 500 per ether for the first time since June 2018. While ethereum remains far below its all-time high of around $ 1,500 set in January 2018, the price of ethereum has risen nearly four times compared to March 2020, when the collapse of the coronavirus wiped out global markets.
“The 500 dollars of Ethereum for the first time since June 2018 represents a significant milestone,” Paolo Ardoino, chief technology officer of Bitfinex based in the British Virgin Islands, said via email.
“Ethereum’s imminent transition to proof-of-stake is being closely followed. [Its] Strong price performance underscores an optimistic mood that appears to lift the crypto space. While bitcoin is the undisputed king of cryptocurrencies, the thriving Ethereum community is alive with many possibilities. “
One such part of the Ethereum community is chainlink, an Ethereum-based cryptocurrency token that powers a decentralized network designed to connect smart contracts to external data sources.
The price of the chain has risen 500% in the past year and has exploded amid a flurry of interest in decentralized finance (DeFi), using cryptographic technology to recreate traditional financial instruments like loans and insurance.
“The accelerating growth of bitcoin is the growing demand for yield and the rise of DeFi, the fastest growing sector within the blockchain industry,” said Sergey Nazarov, co-founder of chainlink via email. . Nazarov expects bitcoin to break $ 100,000 per bitcoin “during this market cycle,” prompted for new DeFi cryptocurrency projects.
“Now, for the first time in bitcoin history and to coincide with a historical rise in inflation; not only can someone buy bitcoin as a hedge against inflation, but they are also able to receive a much larger APR or yield. than we can expect to get from traditional finance “.