Ether’s share of cryptocurrency market capitalization has risen since 2019 and is currently just under 20%. Increasing market share could strengthen Ethereum’s position in the crypto ecosystem as one of the leading smart contract platforms.
An analyst at Delphi Digital wrote in a blog post on Tuesday that if support is close to $ 3,500, ETH may be ready. Delphi also said September could be a seasonally weak time for cryptocurrencies, but a positive fourth quarter could make up for the short-term recession.
The graph shows the share of ETH in the total market capitalization of cryptocurrencies. Decentralized Finance Signs (DeFi) have also been offered as some traders have stopped using ETH in search of higher return potential.
The 20-month trend of investors withdrawing ETH from the stock exchange and pushing it to smart contracts continues, “writes Delphi Digital. The chart below shows the recent performance of DeFi tokens compared to BTC and ETH.