Ethereum’s price rallied ahead of EIP-1559, but is a correction on the way?

Posted: 2 August 2021 2:53 am
ETH 08-03 1800x1000

The last 14-day period has seen Ethereum incur gains of a whopping 35%.

  • The London Hardfork is scheduled to go live on the Ethereum Network on Aug 4.
  • NFT adoption has continued to increase globally over the last few months despite market volatility.
  • Ethereum has continued to remain highly correlated with Bitcoin over the last 30-day stretch.

Ethereum (ETH) has been on an absolute tear over the last week, booking profits worth nearly 15%. The altcoin scaled up to a relative high of $2,672 before correcting to its current levels. At press time, ETH is trading at $2,479.

In terms of what the future might hold for Ethereum, a number of experts believe that the continued delay of ETH 2.0 might be keeping the digital asset from reaching its true financial potential. Not only that, even the currency’s futures data seems to suggest that ETH may struggle to hit the $3,000 mark anytime soon.

That being said, after being released across various testnets, the highly anticipated London Hardfork is all set to go live on the Ethereum network on August 4. As a quick refresher, the aforementioned upgrade seeks to make gas fee-related calculations more accurate as well as reduce the currency’s existing throughput issues.

How to buy Ethereum

NFTs continue to garner more traction

Mainstream support for non-fungible tokens (NFTs) has continued to grow across the globe in recent months, as is best highlighted by a growing list of high-profile celebrities boarding the NFT bandwagon with each passing day. For example, rapper and producer Jay Z recently changed his Twitter profile picture to an NFT CryptoPunk.

Not only that, even in emerging markets such as India, where it is estimated that 15 million citizens hold around $6.6 billion worth of crypto, an increasing number of musicians and visual artists have been quick to adopt NFTs by selling pieces of 2D, 3D artwork as well as albums using these novel crypto offerings. In fact, earlier this year, an Indian musician was able to sell an NFT of his demos for $200,000.

Looking ahead

The last month or so has seen Ethereum closely follow Bitcoin’s price action — with a correlation factor of nearly 90%. Therefore, it will be interesting to see what sort of market action emerges from here on end, especially with Bitcoin’s value gaining solid momentum once again.

Interested in cryptocurrency? Learn more about the basics with our beginner’s guide to Bitcoin, dive deeper by learning about Ethereum and see what blockchain can do with our simple guide to DeFi.

Disclosure: The author owns a range of cryptocurrencies at the time of writing

Disclaimer: This information should not be interpreted as an endorsement of cryptocurrency or any specific provider, service or offering. It is not a recommendation to trade. Cryptocurrencies are speculative, complex and involve significant risks – they are highly volatile and sensitive to secondary activity. Performance is unpredictable and past performance is no guarantee of future performance. Consider your own circumstances, and obtain your own advice, before relying on this information. You should also verify the nature of any product or service (including its legal status and relevant regulatory requirements) and consult the relevant Regulators' websites before making any decision. Finder, or the author, may have holdings in the cryptocurrencies discussed.

Ask an Expert

You are about to post a question on

  • Do not enter personal information (eg. surname, phone number, bank details) as your question will be made public
  • is a financial comparison and information service, not a bank or product provider
  • We cannot provide you with personal advice or recommendations
  • Your answer might already be waiting – check previous questions below to see if yours has already been asked provides guides and information on a range of products and services. Because our content is not financial advice, we suggest talking with a professional before you make any decision.

By submitting your comment or question, you agree to our Privacy and Cookies Policy and Terms of Use.

Questions and responses on are not provided, paid for or otherwise endorsed by any bank or brand. These banks and brands are not responsible for ensuring that comments are answered or accurate.
Go to site