Get All Access for $5/mo

Ethereum Just Hit an All-Time High, Beating Bitcoin's Year-to-Date Gains The cryptocurrency has surged over 300% this year alone.

By Justin Chan

Cryptocurrency Ethereum hit an all-time high on Monday, surpassing the $3,000 mark and beating Bitcoin's year-to-date gains, according to Reuters.

Ether, the token used in the Ethereum blockchain, jumped 3% on the Bitstamp exchange, reaching approximately $3,145 earlier in the day in London. The price reflects a 325% spike this year so far. In comparison, Bitcoin has only jumped 95%.

Related: How Entrepreneurs Can Benefit From Ethereum's Disruptive Potential

James Quinn, managing director at Hong Kong cryptocurrency private wealth management firm Q9 Capital, told the news wire that the increase can be partially attributed to a shift toward "DeFi" or decentralized finance. Decentralized finance is a system in which financial products are accessible on a public decentralized blockchain network, making it easier for people to make transactions without having to go through banks or brokerages.

"At first, the rally was really led by bitcoin because as a lot of the institutional investors came into the space, that would be their natural first port of call," Quinn said. "But as the rally has matured over the last six months, you have DeFi and a lot of DeFi is built on Ethereum."

As MarketWatch notes, Ethereum traded for about $208 just a year ago. Its recent spike comes just days after the European Investment Bank announced that it had used the Ethereum blockchain to issue 100 million euros in two-year notes.

Last month, JPMorgan analysts revealed in a widely circulated letter on social media that Ethereum was also outperforming Bitcoin as a result of improvements in liquidity conditions and a higher turnover on the public Ethereum blockchain.

Justin Chan

Entrepreneur Staff

News Writer

Justin Chan is a news writer at Entrepreneur.com. Previously, he was a trending news editor at Verizon Media, where he covered entrepreneurship, lifestyle, pop culture, and tech. He was also an assistant web editor at Architectural Record, where he wrote on architecture, travel, and design. Chan has additionally written for Forbes, Reader's Digest, Time Out New YorkHuffPost, Complex, and Mic. He is a 2013 graduate of Columbia Journalism School, where he studied magazine journalism. Follow him on Twitter at @jchan1109.

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Editor's Pick

Side Hustle

This 20-Year-Old Student Started a Side Hustle With $400 — and It Earned $150,000 Over the Summer

Jacob Shaidle launched his barbecue cleaning business Shaidle Cleaning in 2021 when he was just 15.

Making a Change

Learn a New Language with This Fresh Approach

Read and listen side by side.

Business Ideas

63 Small Business Ideas to Start in 2024

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2024.

Business News

Mark Zuckerberg Is Now the World's Second Richest Person, Behind Elon Musk

Meta's CEO jumped ahead of Jeff Bezos in Bloomberg's rankings this week.

Franchise

How California's New Disclosure Law Could Affect Franchise Sales Nationwide

The bipartisan legislation introduces new registration and pre-sale disclosure requirements for third-party franchise sellers, including brokers, broker networks and franchise sales organizations.