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Ethereum experienced a reversal late Tuesday afternoon, with the cryptocurrency market pulling back after Bitcoin briefly rose to a new all-time high.
Ethereum fell 5% to $3,412.64, according to Coin Metrics, while Bitcoin fell nearly 8% after rising above $69,000.
Ethereum was up 6.5% to $3,828.81 earlier today, but the downside of Bitcoin’s decline is the market’s biggest hit, including Binance Coin, Ripple’s XRP, and Cardano and Polygon-related Tokens. It affected the investment of most of its good tokens. Even the soaring meme money on Monday reportedly dropped.
Despite the market correction, investors remain optimistic about Ethereum’s near- and medium-term potential. The recent increase in Bitcoin and technology stocks has had positive results on Ethereum’s performance. Additionally, expectations regarding technological reforms planned for this month and the Ethereum exchange-traded fund (ETF) listed for trading in the US also increased the confidence of long-term investors.
Ethereum continues to show strong growth, up 51% to date, surpassing the 45% gain following Bitcoin’s recent rally.
Enclave Markets CEO David Wells, commenting on the closeness of Ethereum and Bitcoin, said given the relative differences in the capital markets of Ethereum and Bitcoin, both identical ETFs exist and are being viewed together Investors will see more differences: ETH’s growth potential relative to Bitcoin as an asset that will continue to attract distribution budget.