Ethereum overtakes Bitcoin in growth rate
May 09, 2025
Over the past 24 hours, Ethereum has outpaced Bitcoin in terms of growth, rising by 18.8% and surpassing the $2300 mark. Meanwhile, Bitcoin also showed steady growth, consolidating above the $103,000 level. Among the top 10 cryptocurrencies by market capitalization, Ethereum became the leader in terms of price dynamics. Renowned crypto trader known as Daan Crypto Trades called the daily candle of the asset «absolutely insane.»
Record Liquidations in the Market
The increase in the value of both leading cryptocurrencies triggered massive liquidations. Over the past day, the total volume of liquidations amounted to nearly $880 million. Of this amount, $344 million was attributed to Bitcoin, while $289 million came from Ethereum. Experts note that the sharp increase in the value of digital assets forced many traders to close short positions, further accelerating the price surge in the market.
According to well-known economist and crypto trader Alex Krüger, Bitcoin surpassing the $99,000 level was a key factor in the mass closure of shorts. He also noted that Ethereum's growth was largely driven by the opening of new long positions on the asset.
Pectra Hard Fork and Deflationary Effect for Ethereum
On May 7, the Ethereum network underwent a major hard fork called Pectra. This update became the largest in terms of the number of proposals and included a series of improvements aimed at enhancing the usability and efficiency of the blockchain. Among the main changes was the accelerated burning of ETH, positively impacting the asset's deflationary nature.
Following the activation of Pectra, Ethereum's annual deflation rate reached 1.2%. This means that the number of coins in circulation is decreasing, potentially creating additional upward pressure on the price in the long term.
The strong growth of Ethereum after the hard fork shows investor confidence in the project's future, while Bitcoin continues to hold its position above the psychological mark of $100,000. The cryptocurrency market appears to have entered a new phase where blockchain updates and global economic trends play a decisive role in shaping the value of assets.