Ethereum (ETH-USD) led gains in the cryptocurrency market on Thursday, rising more than 6%, while bitcoin (BTC-USD) saw a modest 1.5% increase. The global cryptocurrency market capitalization increased by 2%, reaching $1.34 billion (£1.06 billion), according to data from CoinGecko.
Ethereum has also outperformed bitcoin over the past week, climbing 15% compared to bitcoin’s 1.7% decline over the same period.
Bitcoin saw a record rally after the US election, driven by market optimism over President-elect Donald Trump’s expected pro-crypto policies, although it lost steam in the following weeks.
The ETH/BTC trading pair demonstrated strong momentum, rising from 0.035 to 0.038 on Thursday, according to TradingView data. This marks a recovery from the post-election low, reflecting increased investor interest in Ethereum.
Learn more: Live cryptocurrency prices
The total value locked (TVL) in Ethereum-based decentralized finance (DeFi) projects increased by 7% over the past week, reaching $69.3 billion, according to DefiLlama. This increase suggests growing confidence in Ethereum as a platform for financial innovation.
Altcoins such as Cardano (ADA-USD) and Solana (SOL-USD) also saw gains, up 1% and 1.5%, respectively.
Cardano has increased in value by 26% over the past week, according to data from CoinGecko. Market analysts attribute this optimism to a combination of improving investor sentiment and growing DeFi use cases.
The total stablecoin supply surpassed the previous all-time high of $188 billion, with stablecoins such as USDT (USDT-USD) and USDC (USDC-USD), operating primarily on the Ethereum blockchain, driving growth, according to a recent report from Presto. Research.
“Stablecoin metrics show that Ethereum remains a platform of choice for builders exploring real-world applications, despite skepticism from some market participants,” noted analysts at Presto Research.
Ethereum, the second-largest cryptocurrency by market capitalization, has also seen robust growth, bolstered by its role in DeFi and non-fungible tokens (NFTs).
With a market capitalization of over $434 billion, the price of ether has reached around $3,600, an increase of 79% from last year, according to data from Coingecko.
Learn more: 10 crypto tokens that are rising alongside bitcoin
Developers remain attracted to its smart contract capabilities, while its upgrades, including the transition to proof-of-stake, have improved scalability and energy efficiency.
The performance of the cryptocurrency market has also been influenced by developments in traditional finance. U.S. stock markets rallied earlier this week after President-elect Trump nominated Scott Bessent as Treasury Secretary. Investors responded positively to the “3 arrows” strategy proposed by Bessent, which targets GDP growth of 3%, a budget deficit of 3% by 2028 and a daily increase in oil production of 3 million barrels .
