Rotation starts, Ethereum is about to take off
Recently, the Ethereum ecosystem has been booming, with short-term funds flowing from Bitcoin to Ethereum. Since November 21, the exchange rate of Ethereum against Bitcoin has been climbing from the lowest point of 0.0318.
Looking at the coin prices, Ethereum and Bitcoin are moving in completely opposite directions, which shows that market funds are playing seesaw. Next, Ethereum is set to shine for a while!
Now, check out the news:
On November 26, Nick Tomaino, the founder of 1confirmation, said that Ethereum is the world's first "three-in-one" asset, being a capital asset, a store of value, and able to earn returns, with an annualized rate of about 3%.
Analysts from Wintermute also mentioned that funds are flowing from Bitcoin to Ethereum, and the derivatives market is quite lively.
Over the weekend, the open contracts for Ether surged, and the implied volatility also increased, with a booming demand for call options, indicating that derivatives traders are very confident.
As funds move from Bitcoin to Ethereum, the implied volatility of Ether has soared, with the call-put skew reaching a new high in 12 months, showing that investors are quite optimistic about the upward trend.
Wintermute's analysts further stated that traders are desperately buying to push up the market.
There is also big news from Hong Kong, where the ZhongAn Bank app now allows buying and selling Bitcoin and Ethereum, which is something that people in the mainland crypto community have longed for.
Regarding ETF data, although it was not bad on November 23, the data for Ethereum still saw a significant drop in the eighteenth week. American investors' attitude towards Ethereum took a 180-degree turn, from a net inflow of 169,498 Bitcoins to a net reduction of 32,640.
However, BlackRock increased its holdings of Ethereum by 17,268 last week, ranking first. But other institutions either saw net outflows or no changes, marking the worst week since the election.
Yet, on November 23, the data surged again, so be careful; perhaps the frenzy for Ethereum is about to return.
As for the next layout direction, I will guide everyone to aim for the lucrative opportunities in altcoins, especially those with high potential projects, where an expected space of over 10 times is not an issue. If you want to make big money in a bull market, give a thumbs up + leave a message, and I will take you through the entire bull market!
