Ether Price Hits New Record High as Analysts Anticipate Supply Drop

Ether Price Hits New Record High as Analysts Anticipate Supply Drop

Oops!Something went wrong.Please try again later.Oops!Something went wrong.Please try again later.Omkar GodboleApril 22, 2021, 4:48 AM·1 min readOops!Something went wrong.Please try again later.Oops!Something went wrong.Please try again later.Ether (ETH) rallied to new lifetime highs on Thursday on speculation that an impending blockchain upgrade might result in a drop in supply.The native cryptocurrency of Ethereum's blockchain rose to a record high of $2,564 during European trading hours, toppling the previous peak price of $2,546 reached on April 16, according to CoinDesk 20 data.“Ethereum's net annual issuance will drop substantially following the Phase 1.5 ETH 1 to ETH 2 merger,” Messari's research Wilson Withum tweeted.Related: Bitcoin Consolidates Below $56K Resistance as Buyers Lose StrengthWith the upcoming EIP 1559 upgrade, ether will “become a deflationary asset,” Nick Spanos, co-founder of Zap Protocol, told CoinDesk. “This feature will reduce the coin supply and have a corresponding effect on the price, creating an attraction point for more buyers.”Ether has been on a tear of late, outperforming bitcoin by a wide margin. While the native cryptocurrency of ethereum's blockchain has gained 35% this month, bitcoin is down about 8%.Analysts studying ether-bitcoin (ETH/BTC) chart patterns say ether's outperformance could continue in the near term.“ETH/BTC is getting a