Only In Crypto: A Croissant Explains Why Ethereum Will Be Worth Trillions

Ethereum has resumed its upwards trends in the past hour, as the U.S. Federal Reserves Chair Jerome Powell hints at an extension on their economic stimulus policies. At the time of writing, ETH’s price trades at $3,252 with a 4.4% profit in the daily chart. The bulls returned to the market after almost 3 months of bearish price action. The implementation of EIP-1559, the Ethereum migration to a Proof-of-Stake blockchain, the growth in the DeFi sector, and more seemed to have contributed to the current rally. Via Twitter, pseudonyms analyst CroissantETH shared the many factors that will contribute to Ethereum’s future appreciation in the short and long term. The analyst claimed that ETH is “on its way to becoming a multi-trillion dollar asset”. As a first point, Croissant pointed to the rise in total value locked (TVL) in the DeFi sector. This metric stood at $16 billion at the beginning of 2021 and recently reached an all-time above $85 billion, monitored DeFi Pulse recorded. Ethereum is the most important network in this sector, as it hosts most of the main DeFi protocols, such as Uniswap, Curve, SushiSwap, MakerDAO, Aave, and others. Per its total value locked, the network could occupy the 20th position amongst the largest banks on the planet. As a consequence of this explosive growth, more people are sending their ETH funds into smart contracts. Around 26% percent of ETH’s supply sits at these entities, with a potenti...