Summary
- Non-fungible tokens (NFTs) are becoming more popular in music and sports as celebrities, and different sports teams have integrated their use.
- Ethereum’s DeFi ecosystem faces rising threats from hackers.
Ethereum was up by 0.7% in 24 hours to trade at $2,125 at press time, as it continued to establish itself above the $2,000 mark continued. ETH has recently hit a new record high price of nearly $2,150. ETH prices have been on the upswing, thanks to the increased adoption of technologies on the blockchain such as NFTs and DeFi.
Versatility working for Ethereum
Ethereum’s recent rise can be attributed to the diverse applications of its blockchain. As an instance of Ethereum’s versatility, a couple in California recently got married on the Ethereum network. The groom, Peter Kacherginsky, had written a smart contract called Tabata to issue rings that had been tokenized. In addition, it cost the couple nearly $540 for their marriage contract to be tokenized. The validation of the wedding was done on the Ethereum blockchain and took less than five minutes. The total cost amounted to nearly $590, including the mining fees.
The recent initiation of Fei Protocol, a stablecoin backed by ETH, secured nearly $1 billion worth of Ethereum in its launching event. The stablecoin utilizes binding curves connected with direct incentives to sustain a specified required price range. It rewards price movements towards the pre-determined exchange rates and penalizes when the price moves away from the pegged prices.
In the NFT frontier, a token for a famous meme named “Overly attached girlfriend” that had been created by Laina Morris has once again reemerged. The NFT has been auctioned for 200 Ether tokens that are worth around $420,000. A music studio, 3F Music, placed the triumphant bid for the NFT. NFTs have emerged as a formidable force in the crypto market, and Ethereum’s hold on the segment positions it for a further rise in value.
Artists are increasingly making use of the NFTs, which have emerged as a high-value source of revenue. Popular R&B musician, The Weekend has joined the list of artists who have ventured into NFTs. He has made almost $3.30 million from his first NFT set through Nifty Gateway. The NFT collection included an unreleased song by the artist.
Ethereum also continues to appeal to many prominent investors. Mark Shapiro, the CEO, and president of the Toronto Blue Jays in the United States, has recently stated that his team and the whole league are finding ways to incorporate NFTs to boost the support of fans in the sport.
Elsewhere, Mark Cuban, a billionaire, and owner of the Dallas Mavericks basketball team, has recently claimed that he is starting to like ETH. The billionaire holds a good quantity of Ethereum tokens. He has expressed his belief that Ethereum is the single digital currency that bears the closest semblance to traditional currencies in terms of functionality. Mark also revealed that he is also moved by improving ETH technology, such as smart contracts.
Existential threat to DeFi
As Ethereum continues to stamp its authority in the Decentralized Finance (DeFi) ecosystem, concerns continue to pile up over the safety of DeFi. In the latest heist, ForceDAO was recently attacked by hackers a few hours after it was launched. It is claimed that it was hacked by nearly five people. The hackers had taken advantage of the basic ETH code that enabled clients to get hold of the FORCE tokens through an illegal procedure.
ETH/USD technical outlook
ETH/USD pair will find the first support at $2,007, while the second support will be at $2,069. The Relative Strength Index (RSI) is at 57. This may see the bulls taking charge to push prices to the resistance level at $2,189.
