It's too early to talk about the onset of the altcoin season, although there are certainly prerequisites for this, noting the behavior of such cryptocurrencies as Ethereum, Polkadot, XRP, Stellar and Uniswap. Now is a good time for altcoins. The most promising for the coming months may be Chainlink, Polkadot, Uniswap, 1inch, Compound. Those coins that are associated with decentralized marketplaces, landing DeFi projects or cross-chain solutions will grow. Ethereum looks promising in terms of further growth.
Ethereum briefly fell to $ 1,900, but now it is again above $ 2K, although it shows a decline of more than 3.5% per day. Other TOP-10 altcoins also rallied after the correction, confirming the presence of unrealized demand in the market.
Market participants have an ambivalent attitude to what is happening. On the one hand, such an impressive growth may indicate an increasingly active unfolding of the "altcoin season". On the other hand, the anemic dynamics of Bitcoin with the active growth of alternative cryptocurrencies causes alarming associations with the beginning of 2018, when retail investors used their last money to buy very expensive video cards for mining and bought the coins themselves at price highs in the hope of continued growth. This became the starting point of the crypto winter, although at the moment we do not see one of the main conditions for a trend reversal - a significant drop in Bitcoin.
Ethereum's price reached a new all-time high, temporarily rising to $ 2,146. The jump in the rate of this cryptocurrency was caused by the statement of billionaire Mark Cuban, who stated that his crypto portfolio is 30% Ethereum and 60% Bitcoin. He noted that he started buying Ethereum four years ago and regrets not having done so sooner.
Bitcoin is gaining ground with increasing business acceptance. Visa announced this week that it will integrate transactions based on the USD Coin (USDC) stablecoin into its ecosystem. In the coming months, payment giant PayPal will provide users with the ability to pay for purchases with Bitcoin, Bitcoin Cash, Ethereum and Litecoin at 29 million points of sale.
According to the Ethereum Gas Report by Coin Metrics, median fees on Ethereum have been consistently over $10 for most of 2021. Comparatively, the average Ethereum transaction fee reached just $5.70 at the height of the 2017/2018 bull run. It attributed some of this increase to the increase in ETH prices themselves which will make gas more expensive. Since the beginning of 2021, ETH has surged 125% to current prices despite a correction of 19% from its all-time high of $2,050. However, over the same period, the median gas price has increased by 532%. Different types of transactions require different amounts of gas — a simple ERC-20 token transfer uses much less gas than a complex smart contract operation for an automated market maker for example. However, it noted that rather than DeFi being the root cause of the high gas fees, it is simply more transactions in general.
Ethereum fell almost 15% in a week. In fact, ETH became the only altcoin that previously exceeded its all-time high, late 2017 - early 2018. In 2017, the anonymous coin ZCash was as popular among miners as Ethereum, however, within the current bullish cycle, the price of ZEC only rose to $ 130 against a peak of $ 900 at the beginning of 2018.
Ethereum (ETH) showed a large-scale decline, having fallen by 18% per day and is trading around $ 1,500, having previously experienced a dip to $ 1,400, in the area of the highs of early 2018. The fall occurs along with the entire market, but in the case of Ether, it may turn out to be even larger, as the coin has shown a more rapid growth since the beginning of the year (+ 167%) compared to Bitcoin (+ 93%). Ethereum again became the leading coin among miners, fees jumped to inadequate levels again, which refers us to the situation in 2017. ETH confidently surpassed its all-time high, unlike most altcoins, but very quickly returned to it.
The recent rise in the price of Ethereum, which was able to overcome the all-time high and gain a foothold near $ 1,600, led to an increase in network fees to $ 25. Miners' revenues have grown on the back of increased demand; they are also the first to execute those transactions for which a higher commission is set. This once again led to one of the fundamental problems in the Ethereum blockchain, when the cost of running the ETH ecosystem becomes prohibitive. At these moments, crypto market participants begin to pay attention to competitors, including Polkadot, Stellar and EOS. In addition, ETH futures are to be launched today on the CME platform. The event is highly anticipated as the launch of Bitcoin futures in the past has triggered a sell-off.
Ethereum continues to deliver impressive results. It has increased in price by 130% since the beginning of the year, and its increase was 448% in 2020. The main impact on such dynamics is the expectation of the launch of futures on it on the Chicago Mercantile Exchange (CME), which is scheduled for Monday, February 8. The forecasts for this event are mixed. Optimists (and they are the majority) recall that the launch of bitcoin futures on the CME allowed this cryptocurrency to break the $20,000 mark at the end of 2017. Pessimists say that it was this event that marked the beginning of the crypto winter of 2018. So, the question of whether futures is good or bad remains open.
Ethereum is now one of the most visible projects in terms of price dynamics. The token has jumped 122% since the beginning of the year, after growing nearly 480% in 2020. There are several factors in the game, the main one of which at the moment is the approaching launch of futures on CME, which is to take place on February 8th. This event causes ambivalent sentiment among investors, since it was the launch of Bitcoin futures at the end of 2017 that provoked the correction of the first cryptocurrency, and was also the first stage in the crypto winter.
Ethereum is growing in parallel with the decentralized finance (DeFi) space. According to DeFiPulse, the volume of assets fixed in it exceeded $ 30 billion for the first time, and the capitalization of tokens of the respective projects reached $ 58 billion. Analytical portal Messari announced new all-time highs for individual DeFi tokens such as Sushi, Badger, Aave. Strengthening network activity on ETH suggests that the positive trend will continue for at least the next few days. According to IntoTheBlock, the average daily number of transactions on the blockchain is now about 1.16 million. Transactional activity has grown to its highest level since January 2018. Computing capacity on the ETH network also rose to record levels.
Ethereum set a new all-time high above $ 1600, surpassing the previous high by nearly $ 200. ETH grew by over 26% in the first three days of the week, along with new records for the DeFi sector. Ethereum exceeded $ 1600 for the first time on Wednesday. Bitcoin at the same time rose above $ 37,000, but again shows a lag behind ETH. Among the likely reasons for the growth of cryptocurrencies may be Biden's refusal to reduce the incentive program, which will lead to an increase in the flow of investment in a large variety of assets, including Bitcoin.
Together with Bitcoin, growth is shown by all major cryptocurrencies, the most significant of which are Ethereum (ETH) and Litecoin (LTC), which grew by 12% and 14%, respectively. Against this background, the total capitalization of cryptocurrencies continues to move higher, reaching $ 1.1 trillion. The Greed and Fear Index for Bitcoin and the largest cryptocurrencies grew by several points over the course of a day to a value of “78”, which corresponds to the “extreme greed” mode. Although, by design, this should mean an approaching correction, in the current market, such a reaction can happen with a significant delay.
Major cryptocurrencies on Wednesday went into rather active growth on the news that the famous US investment company Bridgewater Associates is planning to invest in digital assets. At the same time, during the trading, the Ethereum token set a new all-time high, exceeding the $ 1,500 mark and jumped by 10.8% per day, to $ 1,561 with a capitalization of $ 177.4 billion.
Ethereum (ETH) is currently enjoying the largest growth among the leading cryptocurrencies. The main altcoin is growing by more than 8% per day and is trading above $ 1,400. If the coin manages to hold above the historic high or confidently continue to grow, we will see a new impetus for ETH and other top altcoins. The development of developers along the path of transition to the second version of the project, as well as the approaching launch of futures on CME in early February, have a very positive impact on the value of the coin.
The volume of transactions on the ETH network is now 28% higher than on Bitcoin. IntoTheBlock's report says that investors have started withdrawing ETH from trading floors. This trend usually signals an imminent resumption of the rally. For example, on January 14 alone, more than 621,000 ETH left exchanges. The key players are now large altcoin holders. The Santiment team found out that it is the "whales" that are withdrawing ether from the exchanges. They are clearly attuned to long-term storage of cryptocurrency. The reduction in the volume of ETH on trading floors fueled demand, which allowed the price to renew its maximum.
Ethereum may not have hit the limit yet, both in the short and long term. The asset price may soon rise to $ 1,500. Ethereum may rise in price up to $ 1600. At this mark, the next Fibonacci level is located, which is a short-term target for the asset rate.
Ethereum (ETH) shows quite impressive growth of 10% per day and changes hands above $ 1,300. The explosive growth sent the price to all-time highs, although selling pressure increased near $ 1400. Until the February launch of ETH futures on the CME platform, we can see significant growth. The Greed and Fear Index for Bitcoin and the largest cryptocurrencies demonstrates an almost unchanged value per day, adding only one point to 80 in the "extreme greed" zone.
As always, after the next impulse in demand for Bitcoin, the attention turns to altcoins. The main hero of alternative cryptocurrencies, of course, remains Ethereum (ETH), which was the first to approach the historical maximum. However, at this stage, the coin failed to take the level around $ 1,400. The good news, however, is that the correction failed to keep ETH below $ 1K. Other altcoins were also able to show impressive gains, losing only slightly as part of the correction. So far, digital currencies generally indicate that the potential for a rally may not yet be exhausted. Now the market is getting rid of the least optimistic investors, it can consolidate for some time, and then move to a new stage of growth. If such a scenario is realized, this can activate the most active phase of the FOMO, which will include not only retail investors, but also the most conservatively minded large capital.
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Top Cryptocurrencies with Price Predictions
| # | Crypto | Prediction | Accuracy | CVIX | Price | 24h | 7d | Market Cap | 7d price change | |
| 1 |  BTC |
Bitcoin predictions | 84% | 20 | $69 517.24 | 5.09% | 10.22% | $1 369 562 768 035 |  |
|
|---|---|---|---|---|---|---|---|---|---|---|
| 2 |  ETH |
Ethereum predictions | 87.2% | 21 | $3 500.86 | 13.88% | 18.57% | $420 546 126 427 |  |
|
| 3 |  USDT |
Tether predictions | 93.6% | 1 | $1.000418 | 0.04% | 0.05% | $111 481 477 832 |  |
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| 4 |  BNB |
Binance Coin predictions | 91.2% | 5 | $589.44 | 2.64% | -0.94% | $86 993 487 970 |  |
|
| 5 |  SOL |
Solana predictions | 80% | 42 | $184.55 | 8.34% | 23.71% | $82 859 861 721 |  |
|
| 6 |  USDC |
USD Coin predictions | 93.2% | 1 | $0.999976 | -0.01% | 0% | $33 280 838 250 |  |
|
| 7 |  XRP |
XRP predictions | 93.2% | 8 | $0.532112 | 4.39% | 4.88% | $29 419 934 304 |  |
|
| 8 |  TON |
Toncoin predictions | 64.4% | 67 | $6.59 | 4.27% | -7.75% | $22 910 655 997 |  |
|
| 9 |  DOGE |
Dogecoin predictions | 78% | 33 | $0.158194 | 6.09% | 5.15% | $22 838 742 690 |  |
|
| 10 |  ADA |
Cardano predictions | 84% | 28 | $0.489357 | 4.09% | 10.94% | $17 460 324 023 |  |
|
| 11 |  AVAX |
Avalanche predictions | 76.4% | 41 | $38.51 | 7.14% | 17.17% | $14 747 080 720 |  |
|
| 12 |  SHIB |
SHIBA INU predictions | 73.6% | 44 | $0.000025 | 4.66% | 6.35% | $14 745 724 733 |  |
|
| 13 |  WBTC |
Wrapped Bitcoin predictions | 86.8% | 20 | $69 726.38 | 5.31% | 10.68% | $10 842 211 979 |  |
|
| 14 |  WTRX |
Wrapped TRON predictions | 87.2% | 17 | $0.122987 | 1.66% | -2.58% | $10 753 428 013 |  |
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| 15 |  TRX |
TRON predictions | 84.4% | 21 | $0.122938 | 1.28% | -2.55% | $10 749 119 227 |  |
