Ether’s (ETH) $230 million options contract, which expires on Friday, seems to have tipped market sentiment in favor of the bulls, at least momentarily. Investors are also positive about the upcoming London hard fork and the possibility of Bitcoin (BTC) bottoming out.
ETH price update
ETH price rose more than 6.5 percent to $2,370 on Sunday, marking its highest level in two weeks, according to data from Cointelegraph Markets Pro. Trading volume, which was typically low over the weekend, was measured at just over $18 billion.
Ether has a market cap of $264 billion at a translation airtime rate of $2,268.
The DeFi market, which is mostly built on Ethereum, also gained 9 percent overall on Sunday. The total value of the market is $73 billion as of the time of translation, according to Coinecko data.
Although Bitcoin also increased by 2.6 percent to exceed $ 35,600 on Sunday, it fell to $ 34,177 as of the time of publication.
The struggle between the bulls and bears was also visible in the options market last month, with both parties expecting high volatility towards Friday. The ratio of call and put options after the coin approaches $2,200 shows that the bulls have taken the lead.
London hard fork approaching
The London hard fork of Ethereum, which includes the EIP-1559 update, was launched on the Ropsten testnet on June 24, laying the groundwork for the mainnet to be fully launched in July.
The hard fork is expected to have a positive impact on the value of Ether, with updates such as the move to proof-of-stake consensus and a new “rarity” feature that will reduce the number of tokens in circulation.
Analysts expect investors to increase their Ether positions towards the completion of the hard fork. On-chain data indicates that this is already starting to happen, as Ethereum significantly outpaced Bitcoin with over 750,000 active addresses last week.
The company providing the data, Santiment, explained the change in the number of active addresses. described as “historic”.
On a day that saw history be made with #Ethereum surpassing #Bitcoin in daily active addresses for the first time, #altcoins came to play. $KSM, $COMP, and $ ZIL were among many projects to make an imprint on the markets, while $ BTC ranged around $34.5k. https://t.co/cwjGvrLLeX pic.twitter.com/3AFQ0MHbcT
– Santiment (@santimentfeed) June 29, 2021