As Ethereum (ETH), the largest smart contract platform and second-largest crypto-asset by market cap, surpasses the $4000 mark, insights from Nansen, a chain analytics firm, shed light on what this development signifies and what is to be expected going forward.
Nicolai Sondergaard, Research Analyst at Nansen, shares key insights:.
“$4000 to me is a psychological resistance level that matters. It was broken and it is important to me that the previous high is broken as well with conviction. It is significant that we are finally starting to see and have seen inflows to the ETH ETF which otherwise have been the clear black sheep of the family.”
Addressing the broader market expectations, he adds:
“I don’t necessarily think it will be the full leader that some expect it to be. At the same time, ETH has been beaten down on price and sentiment, which could mean investors that have already sold and that we then see stronger upside because of it. I want to see a clearer conviction on the ETH/BTC chart that ethereum indeed is seeing increased strength and not purely short term momentum.”
In other key crypto industry developments, it’s worth noting that the rise of decentralized exchanges (DEXs) is “fundamentally” changing the way crypto trading happens.
Tokens now increasingly launch on DEXs first, bypassing centralized exchanges (CEXs), which have often been seen as “overly value-grabbing and misaligned with the decentralized ethos of crypto.”
Here’s how this shift is unfolding:
- Hyperliquid’s HYPE token launch: A $1.2 billion airdrop underscored the transparency and self-custody advantages DEXs offer.
- Solana’s DEX dominance: Platforms on Solana saw $41 billion in trading volume last quarter—a 168% increase over Ethereum’s mainnet.
- SOL’s upward momentum: With DeFi and DEX adoption growing, Solana is projected to reach $300.
This trend is “reshaping” how tokens are introduced to the market.
DEXs provide a faster, fairer, and more transparent trading experience, embodying “crypto’s decentralized principles.”
By the time a token lands on a CEX, it’s often perceived as “too late.”
Anmol Singh, Co-Founder of Zeta Markets, shared his perspective:
“Centralized exchanges have become the outdated, clunky option in crypto. They take more than they give, offering little in return to the community or protocols they list. DEXs, on the other hand, are the great enablers—more transparent, fairer, and efficient. This isn’t just a fleeting trend; by 2025, we’ll see the majority of token launches happening on DEXs, making them the clear choice over CEXs.”