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Ether Surges to $4000 as Crypto Market Rallies Post-Trump Win

Coin WorldSaturday, Feb 8, 2025 1:46 am ET

1min read

Ether, the native cryptocurrency of the Ethereum blockchain, has surged to $4,000 for the first time since March 2024. This significant milestone comes after a week of strong gains, with Ether climbing over 10% in that period. The rally has been fueled by renewed optimism in the crypto market, following the election victory of Donald Trump.

The recent recovery has broken a prolonged period of Ether trading below its 200-day exponential moving average, signaling a potential shift in momentum. Market indicators, such as the relative strength index (RSI), currently at 71, suggest there is room for additional growth before reaching overbought levels. Analysts predict that Ether could reach $7,000 during this market cycle, supported by increasing inflows into Ethereum-based ETFs and a robust developer ecosystem.

Ethereum has shown resilience despite challenges earlier this year, such as reduced layer-1 revenues due to the Dencun upgrade. Network fees, which had dropped significantly, have started to recover, reflecting renewed demand. Proposals like introducing a native layer-1 sequencer could enhance Ethereum’s ecosystem, potentially strengthening its long-term growth prospects.

Mutuum Finance, a new decentralized lending platform, has gained attention with its presale. The platform operates through two main markets: P2C and P2P. In the P2C market, users can directly lend or borrow crypto assets, with smart contracts managing transactions within clearly defined limits. These contracts reduce risk for the protocol and automatically adjust interest rates based on demand, providing fair opportunities for lenders and borrowers.

The P2P market expands the platform’s capabilities, letting users lend or borrow various crypto assets, including tokens like Dogecoin and Shiba Inu. Unlike P2C, P2P transactions occur directly between users, reducing risks associated with shared liquidity pools. This method prioritizes security by avoiding high-risk tokens, such as those with unlimited minting. APY rates in the P2P market depend on token demand, offering flexibility and potentially higher returns, supported by decentralized and audited smart contracts.

Mutuum Finance plans to introduce its own stablecoin, fully backed and pegged to the U.S. dollar. This stablecoin will run on the Ethereum Mainnet and can be minted by users who provide collateral. It will

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