Ethereum Closing in on $4000 as EigenLayer Dominates DeFi Landscape
Ethereum is on the brink of reaching the coveted $4000 milestone, a feat not accomplished since December 2021.
This surge comes on the back of a remarkable 15% increase in value over the past week, showcasing renewed investor interest in the second-largest cryptocurrency by market capitalization.
Meanwhile, EigenLayer, a leading staking protocol, has made waves in the decentralized finance (DeFi) space, climbing the ranks to become the second-largest protocol in terms of total locked value. This ascent underscores the growing prominence of staking protocols within the broader crypto ecosystem.
Much of this positive movement can be attributed to the anticipation surrounding the impending Dencun upgrade, slated to launch on the mainnet by March 13.
The upgrade is poised to introduce proto-danksharding to the Ethereum network, a strategic move aimed at mitigating transaction costs for layer-2 blockchains and tackling scalability concerns head-on.
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Additionally, market watchers are eagerly awaiting potential approval from the US Securities and Exchange Commission (SEC) for a spot Ethereum exchange-traded fund (ETF), which could serve as a significant catalyst for further price appreciation.
In parallel, EigenLayer’s Total Value Locked (TVL) has soared to an all-time high of $11.7 billion, surpassing Aave’s TVL of $11.4 billion. This surge in TVL follows EigenLayer’s recent decision to remove token restaking restrictions and eliminate TVL caps for individual tokens, a move welcomed by the community.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
