ETH Trading Above $2,500 with 40% Monthly Gain
Market Overview
Key updates affecting crypto investments:
- ETH is currently trading above $2,500, down 0.4% but up 40% over the month.
- Total Value Locked in Ethereum has surpassed $60 billion, driven by AAVE's performance.
- Fund manager March Zheng highlights ETH's potential dominance due to scalability improvements from the recent Pectra upgrade and lower inflation rates compared to Bitcoin.
- Institutional interest in ETH is increasing, with exchange balances at seven-year lows, indicating long-term accumulation.
- Bettors on Polymarket give a 26% chance for ETH to reach its all-time high of $4,868 this year.
Decentralized AI Challenges
Analyst Teng Yang reports on issues facing decentralized AI:
- Decentralized Compute Networks (DCN) are struggling to compete with centralized providers like AWS.
- Coordination among computing resources remains a core challenge for decentralized platforms.
- Lack of certifications like SOC2 or ISO 27001 raises security concerns.
- Economic sustainability is at risk due to reliance on temporary token incentives.
- Decentralized networks need to improve stability and user-friendliness to attract enterprise customers.
News Highlights
The Trump Organization has denied involvement with the "$TRUMP Wallet," which features unclear technical details and invites users to join a waitlist.
Revolut is considering an entry into cryptocurrency derivatives, looking to capitalize on a growing market in the U.K. and Europe.
Market Movements
- BTC rose 2% to over $105K due to MicroStrategy's $84 billion acquisition plan.
- ETH shows an uptrend with resistance at $2,651 and support around $2,618-$2,620.
- Gold decreased by 0.51% to approximately $3,356 per ounce.
- Nikkei 225 increased 0.83%, influenced by a tech rally in Wall Street.
- S&P 500 climbed 0.58% to 5,970.37, supported by Nvidia gains.