"Faster Rise Than Bitcoin"... Cryptocurrency No. 2 Ethereum Also 'Soars'

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Choi Eun-young] Following Bitcoin, the price of Ethereum, the second largest cryptocurrency by market capitalization, has surpassed $2,000 per coin for the first time ever.

On the 20th (local time), according to CoinMarketCap, the price of Ethereum stood at $2,017.93, marking an increase of $112.44 (5.09%) compared to 24 hours earlier.

This is the first time Ethereum's price has exceeded $2,000. Ethereum's market capitalization now amounts to $233 billion (approximately 257.8 trillion KRW), representing a 172.5% increase compared to the previous year. This is about one-quarter of Bitcoin's market cap, which surpassed $1 trillion on the same day.

The price surge of Ethereum is steeper than that of Bitcoin. In mid-December last year, Ethereum's price was only around $500 to $600, but it has surged about fourfold in just over two months.

Meanwhile, with recent concerns about inflation, the prices of most cryptocurrencies, including Ethereum, have been rising. The heightened inflation worries in the U.S. have increased interest in dollar-alternative assets. Institutional investors and well-known investors accumulating assets one after another have also been cited as causes.

Another positive factor was the announcement by Nvidia, the world's leading graphics processing unit (GPU) manufacturer, that it will develop a new semiconductor chip for Ethereum mining. Nvidia plans to officially release the 'CMP' (Cryptocurrency Mining Processor) semiconductor chip for Ethereum mining next month.

This content was produced with the assistance of AI translation services.