Ethereum's price movement today is largely influenced by a combination of institutional buying and market sentiment shifts. BlackRock's recent acquisition of $276.16 million worth of Ethereum on February 4th has bolstered confidence in the asset, signaling strong institutional interest. This move follows a series of significant purchases by BlackRock, which has been expanding its Ethereum holdings. Additionally, Eric Trump's endorsement of Ethereum as a good investment opportunity has contributed to a positive sentiment, encouraging retail investors to follow suit. These developments have helped Ethereum recover from its recent lows, despite the broader market's volatility.
The market's reaction to geopolitical developments has also played a role. The temporary pause on U.S. tariffs on Canada and Mexico, announced by Canadian Prime Minister Justin Trudeau, has improved market sentiment, leading to a rebound in Ethereum's price. This diplomatic move has alleviated some of the uncertainty that had previously weighed on financial markets, including cryptocurrencies. Furthermore, the recent increase in Ethereum's gas limit, aimed at enhancing network scalability, has been positively received by the market, as it addresses some of the network's congestion issues.
Ethereum's price has increased by 2.35% today, reaching $2,796.106. The cryptocurrency has fluctuated between a low of $2,701.243 and a high of $2,814.5874 throughout the day.