The price has almost doubled since the June sell-off, which pushed the token's price below 900 USD. The growth of the cryptocurrency market has been fueled by improving sentiment on stock market indices:
- Ethereum's dynamic growth during the Fed conference surprised the market. On July 27, only 17% of put options settled above $1,500. The call to put ratio stands at 1.39, indicating bullish dominance worth $730 million against bearish options worth $530 million. On the day of the Fed conference, traders holding short positions on Ethereum were forced to liquidate, which amounted to more than $330 million, according to data released by Coinglass;
- On July 26, a massive spike in active Ethereum addresses was recorded, prompting a number of speculations around such a sudden rise in ETH's popularity. According to Santiment's analysis, the number of 24-hour ETH addresses exceeded 1 million at the time, breaking records from 2018 when Ether had 718,00 addresses.
- Today, put options worth $1.26 billion are expiring, and demand for ETH tokens seems still strong, as evidenced by record trading volumes. Ethereum's planned 'merge' to version 2.0 in September may trigger a price rally and makes short positions may still be seen as riskier;
- Moving to 'Proof of Stake' Ethereum will introduce a difficulty bomb that will prevent miners from mining more ETH tokens. This model will limit supply making Ether a deflationary cryptocurrency similar to Bitcoin. Initially, 1,600 new ETH will be added daily on the main Beacon chain, compared to 13,000 ETH currently;
- On August 4, final developer testing will begin within the Goerli network. Work on the test network will last until August 12. This time represents a possible range for Ethereum's valuation adjustment. Bulls may be concerned that the tests will reveal problems that will force developers to delay the transformation of the cryptocurrency to version 2.0 again.
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