Summary
- It was reported that Ethereum surged 9% in the past two days, breaking above the $2,600 mark.
- However, it was stated that the Ethereum futures premium remained at a 'neutral' level and there was no strong buying momentum in the derivatives market.
- It was reported that due to the launch of the Solana ETF and the growth of Solana DApps, the upside potential for Ethereum may be limited.
Over the past two days, Ethereum (ETH) has risen 9%, breaking above the intraday $2,600 (USD) mark, but analysis suggests further gains may be difficult due to derivatives market indicators and the launch of the Solana (SOL) ETF.
According to Cointelegraph on the 3rd (local time), the Ethereum futures premium—which represents the difference between Bitcoin spot and futures prices—remained below a 'neutral' (5%) level, despite the recent price increase. This indicates that demand for leveraged long positions in the derivatives market has not increased significantly. Historically, the indicator has sustained an upward trend from the point it entered the 'bullish' area above 10%.
News of the Solana ETF launch and the growth of Solana's decentralized applications (DApps) have also dampened the potential for Ethereum price increases. The launch of the Solana ETF weakened Ethereum’s altcoin leadership, and Solana’s DApps have generated $1.3 billion more revenue than Ethereum’s DApps, making it difficult for Ethereum to maintain its upward momentum in the short term.
Meanwhile, at 10:45 a.m. this day, Ethereum is trading at $2,588.60 on the Binance Tether (USDT) market, up 0.33% from the previous day.
Heecheol Yang
heecheol@bloomingbit.ioHello, I'm a reporter at bloomingbit
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