Due to the positive news from the European Investment Bank, Ethereum prices rose to a new all-time high on Wednesday.
Ethereum rose to $ 2,709 during early Asian trading on Wednesday April 28, marking a new high for the asset, according to Coingecko.
The crypto metrics provider saw a 7% increase in the last 24 hours and a 15.7% increase in the last seven days for the world’s second largest digital asset by market capitalization. The move raised ETH’s market capitalization to a record $ 312 billion.
While there are a number of factors driving the price of Ether, Reuters attributed this today to news that the European Investment Bank is launching a sale of “digital bonds” through the Ethereum network.
The EIB is issuing a two-year € 100 million ($ 120.8 million) digital bond, the sale of which will be led by Goldman Sachs, Banco Santander and Societe Generale, according to analysts at Bloomberg.
The European Investment Bank issues two-year digital bonds on Ethereum through Goldman, Santander and Societe.
– Michael Tant (@ MichaelTant3) April 27, 2021
On April 23, Societe Generale announced that its subsidiary Societe Generale SFH had issued a € 100 million bond as security for the public Ethereum blockchain. It was given the best triple-A rating by Moody’s and Fitch.
Danny Kim, head of revenue at crypto broker SFOX, told Reuters that the news revealed a bullish institutional use case for Ethereum, adding that exchange rate balances are also decreasing and the bull case is increasing:
“The amount of Ethereum sitting on exchanges continues to decline and was the lowest in the past year. Since there is less supply available on the exchange, the likelihood of a larger sell-off is less. “
If you are not extremely long $ ETH and Web3 at this point it’s probably going to be a tough decade for you
Tradfi banks starting to issue digital bonds at ETH are amazing
– Sisyphus (@ 0xSisyphus) April 27, 2021
As reported by Cointelegraph, a revival of DeFi-related protocols and tokens coupled with a drop in gas prices could also drive the momentum. At the time of writing, the average transaction price on the network had fallen to $ 10.73, according to Bitinfocharts.
The popular crypto analyst ‘Altcoin Sherpa’, meanwhile, predicted that ETH would continue to outperform BTC in the coming weeks, targeting a price of $ 3,000.
– Altcoin Sherpa (@AltcoinSherpa) April 28, 2021