Ethereum prices have reached above $ 3,000 for the first time since the mid-May market crash. Although the price of other digital currencies in the market has been rising in recent days, experts attribute Ethereum’s price growth to the London update.
to the Report Ethereum, the price of Ethereum has been steadily rising since the launch of the London Update, and today crossed the $ 3,000 mark for the first time since the market crashed in mid-May. At the time of writing, each Ethereum unit is trading at $ 3,009.
Ethereum is still a long way from its $ 4,357 peak on May 12, yet ether prices have never been so high in the past three months. Ethereum has been trading below $ 3,000 since May 19. At that time, the digital currency market had finally entered a downward trend after several months of steady growth.
The cessation of bitcoin acceptance by Tesla and the doubts raised by the ban on digital currencies in China are cited as the main reasons for the fall in mid-May. At that time, Bitcoin and Ethereum lost more than 50% of their historical highs reached in April and May and fell to recent price levels. Subsequently, almost all digital currencies in the market entered a summer slump, losing much of their value at the beginning of the year.
Ethereum fell below $ 2,000 several times in the final days of the downtrend, most recently on July 22nd. However, the market price of the second digital currency has been steadily rising since then, growing by more than 50% in recent weeks and finally surpassing $ 3,000 today.
Although the price of other digital currencies has risen recently, the rise in Ethereum prices has been partly attributed to the launch of the London Update, which users have been waiting for a long time. The London Update has implemented several improvement projects offered by the Ethereum community.
Hardfork London changes the fee calculation mechanism in the Ethereum network, enabling users to save their precious Ethereum when transacting. In the new Ethereum mechanism, part of the transaction fee is burned out of the network cycle, rather than as a reward for the miners. The addition of this anti-inflammatory element to the Ethereum network gradually reduces the supply of ether.
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According to the Etherchain.org website (Etherchain.org), since the launch of the London Update on August 5, more than $ 12,000 per minute has been burned, and so far in just 2 days, more than 8 , 600 ethers worth $ 25.8 million have been taken out of the network cycle.
Following the launch of the London Hardfork, Ethereum rose 7.85% from $ 2,583 to over $ 3,000 on Thursday morning.