Ethereum’s market dominance has climbed back above 10% on Tuesday after weeks below that level while the token outperformed every other top-10 cryptocurrency with an almost 9% gain in the last seven days 🖤.
The move has rekindled bullish sentiment around ETH even though one analyst is cautioning that no single event appears to have triggered the latest rally 🌙.
Eth Dominance Hits That Psyche Threshold Again 🕷️
Data from CoinGecko shows Ethereum’s market cap at around 233.2 billion with the total crypto market up nearly 2% and valued at just over 2.34 trillion. That put ETH’s share of the market at slightly more than 10% a figure BIT analyst Markus Thielen described as a psychologically important threshold in a July 21 update 🕸️.
Thielen also noted that when ETH dominance rose in the past it often coincided with conditions that favored bullish traders. Indeed at the time of writing ETH had gained over 4% in 24 hours but according to the analyst there was no immediate catalyst behind the rise in dominance 🦇.
Institutional Flows Tilt Hard Toward Ether Calls 🩸
Some big names in the market appear to have picked up on the changing mood with BitMEX co-founder and avid crypto trader Arthur Hayes spending over 2.5 million on 1332.5 ETH earlier today. That was his second multi-million dollar splurge on the token in a week after earlier buying 1293 others for a similar amount on June 16 🕯️.
BIT’s weekly market watch also published on July 21 argued that last week’s softer-than-expected US inflation data had reversed a rough start to the week one that had briefly pushed Bitcoin under 62000 after conflict between the US and Iran flared again. BTC closed that week above 65000 up almost 4% while ETH added over 7% in the same period ending up above 1900 and marking its second consecutive week of outperforming Bitcoin. This also lifted the ETH/BTC ratio to 0.0293 from a June low of 0.0264 🪦.
At the time of writing the world’s second-largest cryptocurrency was still trading well over the 1900 mark having gained about 8.8% in one week and more than 12% in the last 30 days 🌹.
That weekly performance was the best among the top ten digital assets by market cap with XRP and BTC following closely after jumping more than 6% in XRP’s case and about 5.7% in BTC’s case in that period. ETH’s daily trading volume also saw a huge uptick adding more than 31% to the previous day’s amount to hit 11.6 billion 🖤.
Beyond spot prices BIT’s report said perpetual funding rates have remained close to neutral despite ETH’s gains while implied volatility stayed relatively subdued.
It also noted that institutional investors appeared to favor call options with buy-call activity accounting for more than three-quarters of Ethereum block trades while retail participants largely opted for call spreads to gain upside exposure with limited cost 🌙.
Just another echo from the void by iconofsin.eth 💖
