Ether (ETH) price turned green in Bitcoin (BTC) parity on April 21, reaching levels not seen since the beginning of February. Investors are expecting a strong rally in the ETH / BTC pair soon.
ETH was overshadowed by Binance Smart Chain’s token Binance Coin (BNB) in the first two weeks of April. The increase in Ethereum transaction fees combined with the increase in user activity on Binance Smart Chain, gained momentum against BNB Ether.
However, Ether has started to gain in value against both Bitcoin and BNB in the past few days.
What’s behind the ETH rally?
Under the leadership of Ether, the altcoin market has appreciated against Bitcoin in the past 24 hours, causing Bitcoin dominance to drop to 50.7 percent, the lowest level seen since summer 2018.
One of the reasons for the rally in the altcoin market is that altcoins fell more sharply than BTC in the correction after Coinbase was listed.
For this reason, altcoins also started to rise after Bitcoin started to consolidate.
Investors think that a break in the ETH / BTC parity in the short term could trigger a parabolic rally in the altcoin market.
Crypto derivatives investor “Bluntz” said that the Ether chart shows a double bottom and technical analysis indicates that this will be a trend change in the short term. He explained that he was pointing.
On-chain data also gives positive signals
According to CryptoQuant data, the amount of Ether staked on the Ethereum 2.0 deposit agreement is increasing.
The decrease in the circulating supply of ETH in exchanges will also put upward pressure on the price of the cryptocurrency.
The increase in transaction fees of the blockchain network also reveals that activities on Ethereum continue to increase despite the high fees.