Ethereum, the second-largest cryptocurrency by market capitalization, hit $3,200 on November 10 – its highest since August – while Bitcoin surpassed $79,000 following Donald Trump’s victory in the US presidential election.
According to CoinMarketCap, the market cap of Ether (ETH) now stands at around $383 billion, up almost 5% in 24 hours, putting it around $40 billion above the market capitalization of Bank of America.
ETH’s high valuation compared to that of Bank of America shows a shift in financial market dynamics as the adoption and growth of blockchain technology begins to outpace traditional finance (TradFi).
The move signals the growing popularity of decentralized finance (DeFi) and crypto assets as the U.S. Securities and Exchange Commission considers listing the first options tied to ETH spot exchange-traded funds (ETFs).
The chart showing Bank of America’s market capitalization currently stands at $346 billion. Source: EnterprisesMarketcap
Related: Vitalik explores the potential of “infofinance” as ETH surpasses $3,000
ETH gains momentum and becomes inflationary again
ETH saw its biggest weekly price action since May, as the price of Bitcoin (BTC) gradually pushes boundaries to reach new all-time highs (ATH).
However, over the past seven days, ETH supply has increased rapidly, at an inflationary rate of 0.424% per year – previously deflationary in early to mid-October.
According to data from Ultrasound.money, the current annual consumption rate of ETH stands at 452,000 ETH, while the issuance rate is more than double that of 957,000 ETH, resulting in an annual increase of the offer of 0.42%.
Chart showing ETH supply becoming inflationary over the last seven days. Source: Ultrasound.money
Related: Ethereum Enters “Scarcity Mode,” Paving the Way for ETH Rally to $6,000 — Analyst
Community Analysis
Sentiment among crypto analysts on X indicates mixed views but shared anticipation of further upward price action, with predictions of a new ATH soon.
One user on
Cryptocurrency analyst Poseidon showed a similar trajectory on
Chart showing a decline in the price of ETH before climbing towards $4,300. Source: Poseidon, User of X
Related: SEC Considers Approving Ethereum ETF Options
Vitalik presents “finance info”
Meanwhile, Vitalik Buterin, the co-founder of Ethereum, introduced the concept of “infofinance” on November 9.
Buterin explained that infofinance is “a discipline” that starts with “a fact you want to know” and ends with a market that “optimally” obtains that information from market participants.
The ETH co-founder advocated for prediction markets to collect information from the community about future events in a way that meets public expectations, without sensationalism or media influence.
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