The Ethereum price has risen by 7% in the past 24 hours. It has even outperformed its big brother Bitcoin.
Supported by the good news from the European Investment Bank, Ethereum price surged to a record high on Wednesday.
Ethereum has climbed to $2,709 in early Asian trading on Wednesday, April 28. It has made a new peak price for the asset.
Encryption indicator providers report that this is the world’s second-largest digital asset in terms of market capitalization. Ethereum has a 7% increase in the past 24 hours and a 15.7% increase in the past seven days. This move pushed the market value of the crypto to a record $312 billion.
What is driving Ethereum’s price?
Multiple factors are driving the price of Ether up. However, mostly it’s because the European Investment Bank uses the Ethereum network to initiate the sale of “digital bonds.”
EIB issued a two-year Euro 100 million ($120.8 million) digital bond. The sale will be led by Goldman Sachs, Santander, and Societe Generale.
Societe Generale announced that its subsidiary. They issued 100 million euro bonds as a security token on the Ethereum public blockchain. It was awarded the highest AA rating by Moody’s and Fitch.
Another big reason why Ethereum surged could be NFTs. Investors use Ether tokens to purchase virtual art or land in the form of non-fungible tokens on different platforms. These platforms are mainly SuperRare and Decentraland, and the demand here for Ether surprisingly increased.
The head of revenue at cryptocurrency broker SFOX said this news indicates a bullish institutional use case for Ethereum. He added that foreign exchange balances are also declining, which adds to the bullish situation.
At the same time, cryptocurrency analyst “Altcoin Sherpa” predicts ETH will continue to surpass BTC in the next few weeks. According to their prediction, Ethereum bulls aim for a new target price above $3,000 in the medium to long term.