The Ethereum (ETH) once again accounted for more than 10% of the total cryptocurrency market value this Tuesday, reinforcing the improvement in investor sentiment. The move marks the recovery of a level considered important by market participants, while ETH posts the best performance among the ten largest cryptocurrencies by market value.
At the time of publication, Ethereum was trading at US$ 1.926,63, up 2,4% in the last 24 hours. Over the last 14 days, the cryptocurrency had accumulated a gain of close to 9%, consolidating a streak of outperforming Bitcoin and other major assets in the sector.
Market data show that Ethereum's market value is around US$ 233,2 billion, while the total cryptocurrency market capitalization exceeds US$ 2,34 trillion. As a result, ETH's share once again exceeded the 10% mark, a threshold that analyst Markus Thielen, from BIT, classified as a "psychologically important".
According to Thielen, previous periods in which Ethereum's dominance grew used to coincide with more favorable phases for bullish investors. Even so, the analyst emphasized that there is no "immediate catalyst" capable of explaining on its own the cryptocurrency's recent appreciation.
Interest from large investors has also increased in recent days. Arthur Hayes, co-founder of BitMEX, acquired more than 1.332 ETH, in a transaction exceeding US$ 2,5 million. The purchase took place a few days after another similar acquisition, indicating that large-scale investors continue increasing exposure to Ethereum.
In addition to the institutional flow, the macroeconomic environment contributed to the market's recovery. U.S. inflation data below expectations reduced some of the pressure on risk assets, after a period marked by geopolitical tensions that at one point pushed Bitcoin below US$ 62 thousand. Subsequently, BTC recovered ground and ended the week above US$ 65 thousand.
Ethereum followed this movement and closed yet another week outperforming Bitcoin. The ETH/BTC ratio also advanced, indicating greater relative strength from the market's second-largest cryptocurrency.
Another sign of strengthening came from the increase in trading activity. ETH's daily volume grew more than 31%, reaching approximately US$ 11,6 billion, demonstrating greater liquidity and investor participation.
In the derivatives market, funding rates for perpetual contracts remained close to neutral, even with the asset's appreciation. At the same time, implied volatility continued at moderate levels.
The BIT report also points out that institutional investors concentrated their trades in call options, accounting for more than three quarters of block trades involving Ethereum. Retail investors, meanwhile, preferred strategies with call spreads, seeking exposure to ETH's upside with more controlled costs.
This combination of recovering dominance, increased trading volume, and greater institutional participation reinforces Ethereum's positive momentum, which continues to lead gains among the main cryptocurrencies in recent weeks.
