Ethereum Climbs While Bitcoin Falls After Record Surge—Here's Why
Bitcoin surpassed $120,000 earlier this week, achieving multiple all-time highs, while Ethereum experienced a surge, trading at $3,128, up 4% in 24 hours and 20% for the week. Bitcoin fell 1.9% on the day, dropping below $117,000 at one point. Over the past two years, Bitcoin has increased nearly 300%, while Ethereum has risen 60% but is down almost 8% year-to-date. The shift in market dynamics occurred as several companies added Ethereum to their balance sheets and new ETH-based investment products emerged. Optimism grew regarding potential SEC approval for Ethereum exchange-traded funds with staking. Notable purchases included Sharplink Gaming acquiring $225 million in ETH and BitMine increasing its holdings above $500 million. Ethereum futures' open interest reached 12-month highs, indicating increased market participation.
