Ethereum ($ETH), the second-largest cryptocurrency, briefly broke through its $4K resistance for the first time since May when it hit an all-time high of $4,362.
However, it couldn’t sustain its rise that felt after. The altcoin started recovering from its losses in August and gained momentum after London Hardfork. Currently, the altcoin is trading at $3,934
After the London Hardfork, Ethereum’s price skyrocketed as EIP-1559 made it a deflationary asset. Since then, nearly hundreds of millions worth of $ETH token has been eliminated out of circulation.
Ether’s supply is decreasing as the number of tokens burnt was higher than the day’s supply. A total of 13,485.5000 Ether were supplied, while a million more worth $13,838.3717 were taken out by token burners.
The decreasing circulating supply could trigger an Ethereum price surge due to a demand-supply crisis. The recent burning of tokens has made it even scarcer, fueling up speculation about the Etheruem prices.
Ethereum Exchange Supply On a Continuous Decline
Since March 15, 2020, the volume of $ETH on centralized exchanges has dropped from 27% to 17%. Price is up 3,447%, and it’s riding high with NFTs.
Ether has been on a tear since it hit its 2018 ATH in mid-January, and the second-largest cryptocurrency is still up by almost 10%. It might continue to rise if this bullish momentum continues. Some believe that Ether will outshine Bitcoin because of the surging popularity of crypto investments like Defi.
After a successful London hard fork, with the final upgrading of ETH2.0. Ether is up 10% and has taken the lead, overtaking other top altcoins. Ether might be joining Solana ($SOL), Terra ($LUNA), and Cardano (ADA) as it posts new all-time highs again soon!