ETH has risen by 6.24% in the past 24 hours, hitting $4,733.10. It's also risen by 11.74% over the past seven days.
As Bitcoin stagnates, investor attention is increasingly turning to Ether.
While BTC is flat right now — both on a 24-hour and seven-day timeframe — the world's second-largest cryptocurrency is on a tear right now, and is coming tantalizingly close to hitting new record highs.
These triple-digit gains are made all the more remarkable by how the Ethereum blockchain has been crippled by high gas fees. Some critics argue that the astronomical rise in transaction costs have rendered the network unusable.
Ethereum has managed to shrug off these concerns by how it's the home of non-fungible tokens and decentralized finance.
Why is ETH Surging?
As ever, it's difficult to pinpoint what's behind ETH's resilient performance — however, it's undeniable that a significant network upgrade over the summer will have had an impact.
Ethereum Improvement Proposal 1559 changed the way gas prices are estimated — and now, a chunk from every transaction fee is now burned forever, reducing the amount of ETH in circulation. With supply constricted at times of high demand, this could push up prices.
Questions remain over when Ethereum 2.0 will launch in full, but some crypto analysts argue that layer-two solutions — which sit on top of the blockchain — help address scalability concerns for now.
Rival blockchains — dubbed "Ethereum killers" because of how they aim to offer greater levels of scalability, faster transactions and lower fees — have also been no match for ETH's surge this week. The prices of Solana, Cardano and Polkadot have all tumbled into the red over the past seven days.