Latest news with #Pectra
Yahoo
2 days ago
- Business
- Yahoo
4 Reasons Ethereum's 44% Rally Could Just Be Starting
Ethereum is looking like it's in the process of a turnaround. It just got a major upgrade, and investors are keeping their capital on the chain. The macro environment also looks favorable at the moment. 10 stocks we like better than Ethereum › The market loves a good comeback story, and right now Ethereum (CRYPTO: ETH) is auditioning for the lead role. After spending most of 2023 and 2024 lagging other major cryptocurrencies, Ethereum has surged roughly 30% during the past 90 days. There's reason to believe that this move is not just another speculative pop. There are four catalysts that look built to last. If those forces keep pulling in the same direction, the rally may be only the opening act. Let's check them out and understand how they fit into the coin's longer-term picture. Ethereum, like all cryptocurrencies, is very sensitive to macroeconomic phenomena like inflation and the money supply. On that front, things are looking pretty good right now. May's Consumer Price Index (CPI) showed inflation running at 2.4%, the lowest readout since early 2023. That reading boosts the odds that the Federal Reserve will cut interest rates later this year, which will make it cheaper for banks to borrow money, and thus more likely that investors will need to look further down the risk curve, toward crypto, to get a return beyond the cost of borrowing. In short, lower rates have historically tended to nudge investors out of cash and into longer‑duration bets like crypto. Markets are already leaning that way. The U.S. dollar index, which tracks the strength of the dollar relative to other currencies, just slipped to a three‑year low on expectations of easier money. Cheaper dollars make dollar‑denominated assets with fixed supplies look more attractive, and Ethereum fits that bill. When the biggest wallets start buying, price moves can snowball. And there aren't any players with bigger wallets than institutional investors like pension funds and hedge funds. During the week of May 13, $205 million flowed into Ethereum‑linked products, making for the strongest haul since early 2024, and about 25% of all crypto exchange-traded product (ETP) inflows. The momentum kept rolling; by mid‑June, Ethereum exchange‑traded funds (ETFs) had logged a 16‑day intake streak worth almost $900 million. Pension funds and ETF sponsors are not day traders. Their allocations typically stay parked for multiple quarters or even years, effectively removing supply from the market and signaling that the fear that dominated late 2024 is fading. And that's bullish for Ethereum, because they hold it now. Slated for activation in late 2025, Pectra is Ethereum's biggest technology overhaul in recent years. The package rolls 11 improvement proposals into one release that simplifies wallets and smooths out gas (user) fee volatility via a variety of mechanisms. Pectra tackles three persistent pain points in one go: user‑friendliness, account security, and unpredictable transaction costs. If its second phase has the intended affects when it launches later this year as planned, it could also help the network to scale, keeping costs lower and improving transaction times. History suggests that every time Ethereum reduces friction, developer activity and on‑chain demand rise soon after, both of which tend to lift prices. While Pectra cooks, Ethereum staking is already squeezing supply. On June 11, staked Ethereum coins hit a record 34.6 million, accounting for roughly 29% of circulating supply, and up from 26% a year ago. Importantly, the staking share of total supply keeps rising even as the coin's price climbs, suggesting holders prefer yield to speculation. That means investors see that they can get a more attractive return by leaving their capital parked in staked coins rather than transferring it elsewhere, which in turn ensures that more value is stored on the chain, boosting the coin's price. The reason for this is that staked coins cannot be sold without first exiting a validator queue, which can take days. Layering on Pectra's validator simplifications, which are expected to make staking cheaper and easier, it is plausible that 35% or even 40% of all Ethereum coins could be bonded for yield within a year. A shrinking float (coin available for public trading) paired with growing demand is a classic recipe for sustained price strength, as it forces buyers to compete with each other in the form of bidding higher prices to secure coins of their own. Still, investors should take note that none of these four forces I've mentioned guarantees a straight‑line ascent. A macro shock or an unexpected bug in Pectra could smash confidence fast. Yet if inflation keeps easing, institutions keep allocating, the upgrade continues to land smoothly, and staking continues to grow, Ethereum's risk‑reward profile looks far stronger than it did six months ago. Before you buy stock in Ethereum, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Ethereum wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $658,297!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $883,386!* Now, it's worth noting Stock Advisor's total average return is 992% — a market-crushing outperformance compared to 172% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 9, 2025 Alex Carchidi has positions in Ethereum. The Motley Fool has positions in and recommends Ethereum. The Motley Fool has a disclosure policy. 4 Reasons Ethereum's 44% Rally Could Just Be Starting was originally published by The Motley Fool Sign in to access your portfolio
Yahoo
3 days ago
- Business
- Yahoo
Which Cryptocurrency Is More Likely to Be a Millionaire Maker: Solana vs. Ethereum
Solana and Ethereum are both leaders in cryptocurrency today. Ethereum has the edge in regulatory clarity and size, but not in its costs for users. Solana has the edge in speed as well as in developer enthusiasm, at least for now. 10 stocks we like better than Ethereum › Investors looking for life-changing gains in cryptocurrency face a familiar fork in the road. One path is paved by Ethereum (CRYPTO: ETH), the chain that made many millionaires during the 2021 bull run. Ethereum still commands the deepest liquidity in all of crypto, not to mention a large and enthusiastic base of holders and developers. The other is the express lane championed by Solana (CRYPTO: SOL), purpose-built for speed and cost efficiency, and the favorite of meme coin traders everywhere. Both roads look promising at first glance, yet the odds of either coin printing millionaires from today's prices are slimmer than social media hype suggests. Still, relative advantage matters. If one network can compound value even a few percentage points faster, the payoff over a decade could dwarf the other. Let's compare and contrast their chances. Even in 2025, Ethereum remains the capital city of crypto development. It hosts the largest absolute developer base by a wide margin, and it's the second-largest by market cap, with a cap of $343.3 billion. At the same time, exchange-traded funds (ETFs) holding Ether began trading last summer, and already vacuumed up $3.5 billion in net inflows, with another $450 million arriving from June 1 to June 11 alone. That steady bid from holders of big amounts of capital gives Ethereum a funding source Solana can only envy for now. Nonetheless, its gas fees and slow transaction times have been difficult problems to solve, even with its latest major update called Pectra, which just launched. While it's true that fees fell a lot compared to yesteryear, neither transaction volume nor its sum of active wallet addresses moved meaningfully higher. Cheaper usage is welcome, but falling demand hints that Ethereum's moat is eroding at the edges. Still, regulation works in Ethereum's favor for now. The Securities and Exchange Commission (SEC) approved spot Ether ETFs last year without labeling it a security, which would imply a dramatically higher regulatory compliance burden for the coin as well as probably the projects in its ecosystem. That tacit blessing lowers existential risk for holders and it directly enables the institutional investors that are now allocating to the asset. The catch when it comes to the coin's millionaire-maker potential is its valuation. Turning a $10,000 stake into $1 million would require another 100-fold rise, which is almost certainly not going to happen, as there aren't any catalysts in sight that would help it along, nor is there enough circulating capital in the financial system, given the coin's current market cap. Solana courts investors with a different pitch, as it offers near-instant transaction settlement and fees that are so low that they're usually negligible. Crypto developers are voting in favor of that proposition with their feet. Solana was the No. 1 destination for new developers in 2024, and saw its developer count jump 83% year over year. That talent inflow is translating directly into user traction. Solana now handles 81% of all on-chain decentralized exchange (DEX) transactions in the crypto sector, and as many as 64% of non-fungible token (NFT) mints. Fresh capital catalysts are lining up, too. Canary Capital filed an S-1 for a spot Solana ETF on May 21. Approval by regulators is far from guaranteed, but even a credible review process could legitimize the asset for advisors who currently cannot touch it. Meanwhile, Solana's speed, cost profile, and compression tricks make it a natural playground for artificial intelligence (AI) projects in crypto, as well as sensor-rich decentralized physical infrastructure (dePIN) protocols seeking sub-penny fees. Alas, the upside math for making a millionaire with an investment in Solana is hardly any kinder than for Ethereum. Its market cap is nearly $90 billion. A tenfold climb over the next 10 years might be believable, but the 100x climb that'd be necessary to turn an investment of $10,000 into $1 million quite simply does not pass the sniff test. Even the most outrageous pipe dreams of the coin's most hardcore evangelists would not be enough to create growth of that scale, even when considering very long time frames. That doesn't mean that Solana or Ethereum are bad investments whatsoever. If your risk tolerance cannot stomach the potential for regulatory surprises, Ethereum remains the steadier grind despite its warts. On the other hand, if you can handle turbulence and believe that speed, low fees, and a growing population of developers will keep grabbing market share, Solana looks like the better option, even if it won't make you into a millionaire. Before you buy stock in Ethereum, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Ethereum wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $660,821!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $886,880!* Now, it's worth noting Stock Advisor's total average return is 791% — a market-crushing outperformance compared to 174% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 9, 2025 Alex Carchidi has positions in Ethereum and Solana. The Motley Fool has positions in and recommends Ethereum and Solana. The Motley Fool has a disclosure policy. Which Cryptocurrency Is More Likely to Be a Millionaire Maker: Solana vs. Ethereum was originally published by The Motley Fool
Economic Times
12-06-2025
- Business
- Economic Times
Crypto market soars 10% in May as Bitcoin nears record $112K, says Binance
The cryptocurrency market experienced a significant surge in May, driven by institutional interest and DeFi growth, despite macroeconomic uncertainties. Bitcoin led the rally, hitting record highs, while Ethereum saw substantial gains after its Pectra upgrade. Altcoins and NFTs also saw increased activity, with corporate treasuries expanding their crypto holdings, signaling growing confidence in digital assets. Tired of too many ads? Remove Ads Crypto TrackerPowered By TOP COINS TOP COIN SETS BNB 57,167 ( -0.33 %) Buy Ethereum 2,36,996 ( -0.72 %) Buy Bitcoin 92,33,365 ( -1.5 %) Buy XRP 192.31 ( -1.69 %) Buy Solana 13,635.62 ( -3.68 %) Buy Altcoins join the rally Popular in Markets 1. EU crypto regulation hampered by national flaws NFT and ETF activity picks up Corporate treasuries deepen crypto exposure Outlook for H2 remains optimistic Tired of too many ads? Remove Ads The global cryptocurrency market posted a robust 10.3% gain in May, defying global macroeconomic uncertainty and trade policy volatility, according to a report from Binance rally was driven by a surge in institutional participation, expanding corporate treasury holdings, and strong momentum across decentralized finance ( DeFi ) and stablecoins Bitcoin (BTC) led the charge, rising 11.1% during the month and hitting a record high of $111,970 before experiencing a modest retreat. Ethereum (ETH) recorded an even sharper recovery, jumping 43.9% in May following the successful implementation of its Pectra upgrade. The upgrade enhanced scalability, security, and developer experience, restoring long-term investor confidence in the Ethereum ecosystem.'Despite persistent global macroeconomic turmoil, the May insights underline crypto's growing resilience and maturity,' said Kushal Manupati, Regional Growth & Ops Lead of South Asia at Binance. 'We are seeing unprecedented levels of corporate participation, increased institutional demand, and greater integration of blockchain technology into financial and enterprise processes.'Several altcoins posted strong gains. Dogecoin (DOGE) surged 12.9% after 21Shares filed for a spot DOGE ETF, resulting in a 528% increase in active wallet addresses. Solana (SOL) gained 9.3%, supported by institutional inflows and fresh treasury allocations by DeFi Dev. Binance's native token BNB rose 10.1% after the $2 billion launch of stablecoin USD1 on the BNB stood out as the best-performing sector, with total value locked (TVL) rising 21.4% month-on-month, outpacing even Bitcoin's growth. Ethereum and its Layer 2 networks, particularly Base, played a central role in this surge. Stablecoin activity also climbed by 4.5%, with the overall market size remaining above $250 billion for the twentieth consecutive tokens ( NFTs ) experienced a revival, with sales volumes increasing by 22.5% in May. Bitcoin-based NFTs—including Ordinals and BRC-20 collections—saw a 14.4% rise in sales. Immutable's 'Guild of Guardians' led the gains with a 40% increase in sales volume, while 'Doodles' and 'Good Vibes Club' also saw notable recoveries.U.S.-listed Bitcoin spot ETFs saw net inflows of $5.25 billion in May, the highest since November 2024. However, the month ended with $962 million in outflows during the final two trading days, signaling growing investor caution amid rising secondary market interest rates and renewed macroeconomic treasury involvement continued to expand, with over 100,000 BTC added to company balance sheets since April and more than 25 new firms disclosing their crypto holdings.'This momentum is not only about growing prices, but also signals rising confidence in digital assets as a vital part of the global financial ecosystem,' Manupati ahead, Binance Research projected continued strength for the crypto market in the second half of 2025. Key drivers include expanding regulatory clarity in the U.S., EU, and Asia-Pacific regions, growing corporate adoption, and ongoing innovation in DeFi.: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
Time of India
12-06-2025
- Business
- Time of India
Crypto market soars 10% in May as Bitcoin nears record $112K, says Binance
The cryptocurrency market experienced a significant surge in May, driven by institutional interest and DeFi growth, despite macroeconomic uncertainties. Bitcoin led the rally, hitting record highs, while Ethereum saw substantial gains after its Pectra upgrade. Altcoins and NFTs also saw increased activity, with corporate treasuries expanding their crypto holdings, signaling growing confidence in digital assets. Tired of too many ads? Remove Ads Crypto TrackerPowered By TOP COINS TOP COIN SETS BNB 57,167 ( -0.33 %) Buy Ethereum 2,36,996 ( -0.72 %) Buy Bitcoin 92,33,365 ( -1.5 %) Buy XRP 192.31 ( -1.69 %) Buy Solana 13,635.62 ( -3.68 %) Buy Altcoins join the rally Popular in Markets 1. EU crypto regulation hampered by national flaws NFT and ETF activity picks up Corporate treasuries deepen crypto exposure Outlook for H2 remains optimistic Tired of too many ads? Remove Ads The global cryptocurrency market posted a robust 10.3% gain in May, defying global macroeconomic uncertainty and trade policy volatility, according to a report from Binance rally was driven by a surge in institutional participation, expanding corporate treasury holdings, and strong momentum across decentralized finance ( DeFi ) and stablecoins Bitcoin (BTC) led the charge, rising 11.1% during the month and hitting a record high of $111,970 before experiencing a modest retreat. Ethereum (ETH) recorded an even sharper recovery, jumping 43.9% in May following the successful implementation of its Pectra upgrade. The upgrade enhanced scalability, security, and developer experience, restoring long-term investor confidence in the Ethereum ecosystem.'Despite persistent global macroeconomic turmoil, the May insights underline crypto's growing resilience and maturity,' said Kushal Manupati, Regional Growth & Ops Lead of South Asia at Binance. 'We are seeing unprecedented levels of corporate participation, increased institutional demand, and greater integration of blockchain technology into financial and enterprise processes.'Several altcoins posted strong gains. Dogecoin (DOGE) surged 12.9% after 21Shares filed for a spot DOGE ETF, resulting in a 528% increase in active wallet addresses. Solana (SOL) gained 9.3%, supported by institutional inflows and fresh treasury allocations by DeFi Dev. Binance's native token BNB rose 10.1% after the $2 billion launch of stablecoin USD1 on the BNB stood out as the best-performing sector, with total value locked (TVL) rising 21.4% month-on-month, outpacing even Bitcoin's growth. Ethereum and its Layer 2 networks, particularly Base, played a central role in this surge. Stablecoin activity also climbed by 4.5%, with the overall market size remaining above $250 billion for the twentieth consecutive tokens ( NFTs ) experienced a revival, with sales volumes increasing by 22.5% in May. Bitcoin-based NFTs—including Ordinals and BRC-20 collections—saw a 14.4% rise in sales. Immutable's 'Guild of Guardians' led the gains with a 40% increase in sales volume, while 'Doodles' and 'Good Vibes Club' also saw notable recoveries.U.S.-listed Bitcoin spot ETFs saw net inflows of $5.25 billion in May, the highest since November 2024. However, the month ended with $962 million in outflows during the final two trading days, signaling growing investor caution amid rising secondary market interest rates and renewed macroeconomic treasury involvement continued to expand, with over 100,000 BTC added to company balance sheets since April and more than 25 new firms disclosing their crypto holdings.'This momentum is not only about growing prices, but also signals rising confidence in digital assets as a vital part of the global financial ecosystem,' Manupati ahead, Binance Research projected continued strength for the crypto market in the second half of 2025. Key drivers include expanding regulatory clarity in the U.S., EU, and Asia-Pacific regions, growing corporate adoption, and ongoing innovation in DeFi.: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
Yahoo
11-06-2025
- Business
- Yahoo
Is $3,000 Within Reach for Ethereum in June?
Ethereum's recent upgrade, Pectra, is now live. It hasn't exactly revolutionized the chain's appeal to investors. Still, there are significant changes under the hood that could support an uptrend. 10 stocks we like better than Ethereum › Investors love a round number, and the $3,000 mark is looming just above Ethereum's (CRYPTO: ETH) current price near $2,540. Yet the real story is less about the coin's short-term price movement and more about whether May's big upgrade called Pectra has finally begun to solve Ethereum's perennial problems of high gas fees and sluggish throughput. If that fix sticks and institutions keep pouring fresh dollars into the blockchain, the token's next leg higher could have staying power and start to restore some real and enduring confidence among investors. In short, the question is whether a cheaper, faster Ethereum can reclaim relevance just as countries are debating where to stockpile their digital assets. Let's map out why the next few months could drop a few clues about the answer to that inquiry. The May 7 Pectra upgrade bundles several long-awaited improvements, from account abstraction to a doubling of blob capacity for Layer-2 data. These two technical upgrades make Ethereum more accessible and efficient, building on a handful of prior additions and tweaks. Account abstraction allows developers to create custom wallets and smart contract wallets that are easier to use, while the doubled blob capacity lets Layer-2 (L2) chains built on top of Ethereum to post data to the main Ethereum chain more cheaply and efficiently, which reduces congestion and fees across the board. This is important because it reduces friction for users and institutions alike, encouraging more transactions on the main chain and strengthening the case for using Ethereum as a foundational layer for decentralized applications. The immediate promise implied by Pectra was leaner gas fees for everyday actions such as swaps, an issue that the chain's developers have been working on for years. Early evidence suggests meaningful progress, though not the nearly no-fee nirvana that some aspired for. Take a look at this table: Metric Late-March 2025 (pre-Pectra) June 9, 2025 (post-Pectra) Average transaction fee $0.28 (a historical low) $0.28 Average swap fee $4.96 $4.27 Block time Approximately 12 seconds Approximately 12 seconds Data source: As you can see, Pectra did not crash swap costs or juice transaction speeds overnight. Instead, it appears to have stabilized them at rock-bottom levels even as network activity rebounded. In other words, the chain finally has some traffic headroom before fees rise, which is a bullish development, to say the least. If that headroom persists, higher prices, including $3,000, become much easier to justify, because lower-friction transactions invite new applications and new capital. That capital is indeed arriving. Ether-linked exchange-traded products, like exchange-traded funds (ETFs), enjoyed $295 million of net inflows in the week ended June 7, topping every other digital asset category. More broadly, crypto funds now hold $167 billion in assets, and nearly $900 million of that monthly haul went to ether-based funds. If you're a holder or if you're thinking of buying the coin, this is exactly what you want to see. But why does fee compression matter to these allocators? In a word, credibility. Lower costs widen the margin of safety for institutions seeking predictable settlement for their transactions. Add the prospect of the U.S. government holding the coin via the proposed Digital Asset Stockpile, and the free float could start to look thin, making it easier for prices to rise. Assuming the stockpile is implemented, even a modest Ethereum tranche would amplify the scarcity effect that's already observable via the ETF inflows. Beyond that, every new institutional buyer stresses supply on the margin. Ethereum was above $3,000 earlier this year, so it isn't unattainable whatsoever. Hitting that level by the end of June most likely requires three things to keep working: Sustained fee relief in the face of spiking demand, assuming that happens Continuation of net inflows from ETFs Relative macroeconomic calm Furthermore, competitors could rain on the parade. Rival chains, especially Solana, whose swaps are nearly instant and routinely cost less than $0.01, offer investors a cheaper platform. And Pectra's validator-side enhancements do little for the average investor today; the marketing story could outrun the measurable benefit here. Nonetheless, investors with high tolerance for risk should probably look to start nibbling on some Ethereum here. More conservative investors will probably want to wait for two confirmations in the form of another month or two historically low fees, and another month or two of strong net inflows from ETFs. Either way, Pectra appears to be Ethereum's first credible redemption arc after two years of underperformance. If it proves durable, reaching $3,000 will be just the start. Before you buy stock in Ethereum, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Ethereum wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $660,341!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $874,192!* Now, it's worth noting Stock Advisor's total average return is 999% — a market-crushing outperformance compared to 173% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 9, 2025 Alex Carchidi has positions in Ethereum and Solana. The Motley Fool has positions in and recommends Ethereum and Solana. The Motley Fool has a disclosure policy. Is $3,000 Within Reach for Ethereum in June? was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
