- NFTs and digital assets, in general, have driven demand for Ethereum.
- Ethereum received about $31 million in new funds.
On November 9, Ethereum hit a new all-time high of $4,838. Despite Bitcoin’s current Bull Run and new marks, the trend is followed. While BTC may be supreme on the surface, institutions still need ETH.
In the second and third quarters of 2021, Ethereum surpassed Bitcoin in terms of trade volume, according to Coinbase. In the second quarter, ETH surpassed BTC, capturing 26% of the global crypto trading volume. Ether accounted for 22% of overall trading volume, while the bellwether crypto accounted for 19%.
However, Bank of America has already said that digital assets like Ethereum can no longer be ignored. Moreover, the bank thinks ETG has greater growth potential and will outperform Bitcoin. The EIP 1559 update has helped burn almost 800,000 ETH since its installation.
NFT’s and Digital Assets
NFTs and digital assets, in general, have driven demand for Ethereum over the first two quarters of 2021. However, the fourth quarter saw ETH fall as Bitcoin led the market’s Bull Run. Despite the emergence of Bitcoin ETFs, Ether has managed to hold on and make a return.
Last week, Ethereum received about $31 million in new funds. Meanwhile, Bitcoin inflows continue to fall compared to the final two weeks of October. The large crypto saw $1.4 billion in trades when the BTC ETFs were released but hasn’t done so since.
From October 8 to November 8, Bitcoin inflows increased 16.60%, while Ethereum inflows increased 23.87% (week-over-week). This indicates that investors favour ETH over BTC. The notion is evident when comparing the % change in AUM over the same period. However, the BTC AUM decreased by 59.5 percent, indicating that investors are selling their BTC holdings for Ether.