According to the recently published Coinbase half-yearly review, Ether (ETH) trading volume increased by a whopping 1,400% this first half of 2021 – from $92 billion from 2020’s January-to-June timetable to over $1.4 trillion this year. Interestingly, Coinbase’s Monday report also showed that the market for ETH outgrew Bitcoin’s (BTC) this year by about three-fold.
Experts then credited this growing trend for the second most prominent crypto, only behind BTC, to the influx of high-profile institutional investors on the Ethereum blockchain.
Coinbase’s report stated that many of their institutional clients, including endowments, high-end corporations, and hedge funds, increased their exposure or dove in first-time to ETH this first half of the year. As per the report, Coinbase believes that their largest clients now see the digital asset as having better long-term staying power than that of BTC.
Adding to the recent successes of ETH is the ongoing significant growth within the Ethereum-based decentralized finance (DeFi) sector, which is on the verge of transitioning to a proof-of-stake framework. Once the transition finalizes, ETH would turn into a yielding asset – another crucial factor that may lead to even better market performance down the line.
On top of drastically outgrowing BTC this 2021, ETH also managed to overtake gold and the S&P 500 in global market price performance. Gold actually fell by 6.7% this first half, while S&P 500 rose by a respectable 14%. Comparing that to ETH’s, however, would only render such growth seemingly insignificant. ETH’s price performance rallied 210% within the same period.