Ethereum's price movement today is largely driven by the anticipation surrounding the Pectra upgrade, which is expected to address key scaling issues and improve transaction efficiency. The Ethereum Foundation's recent announcement that the Pectra Devnet5 is live has sparked optimism among investors, as it marks a significant step towards the mainnet launch anticipated in March 2025. This upgrade is seen as crucial for maintaining Ethereum's reliability and reducing transaction costs, which have been a concern due to high demand. "High demand is driving up transaction fees that make Ethereum expensive for the average user," reads Ethereum’s roadmap, highlighting the importance of the upcoming changes.
Additionally, the recent inflow of $166 million into Ethereum ETFs, led by BlackRock's acquisition of $111.19 million worth of Ether tokens, has further bolstered investor confidence. This influx of institutional support is seen as a positive signal for Ethereum's potential price rally, with analysts eyeing a breakout above the $3,400 mark. The broader market recovery, with Bitcoin holding strong above $101,000, has also contributed to the positive sentiment surrounding Ethereum, as altcoins gain momentum in the wake of Bitcoin's surge.
Ethereum's price has increased by 3.52% today, reaching $3,423.94, with a high of $3,435.90 and a low of $3,307.60.