Ethereum surged more than 8% to its highest price since early February, outperforming other major cryptocurrencies. Analysts noted a rise in large Ethereum wallets and linked the broader market rally to developments in U.S.-Iran tensions, which pushed total crypto market capitalization to a four-week high of $2.6 trillion.
Ethereum is the winner from today’s crypto market rally, surging more than 8% to its highest level since early February. Ether traded at $2,380 in early trading Asia on Tuesday morning.
Santiment reported on Tuesday morning that the number of Ethereum whale wallets holding at least 100,000 ETH has jumped 5.5% in the past week. In a tweet, the firm stated, “You can expect a level of correlation with price when this number grows, and there is strong justification that the #2 market cap can continue its rise.”
According to Fundstrat’s Tom Lee, ETH is the best-performing asset since the start of the Iran conflict, gaining 17.4%. He noted it outperformed the S&P 500 by 1830 basis points and gold by 2,743 basis points.
Crypto investors are reacting to the latest news from the Middle East that President Trump has initiated a US military blockade of Iranian ports and threatened any Iranian ships that approach. However, he also said on Monday that Iran wants to make a deal.
US Vice President JD Vance stated in an interview with Fox News that the US expects Iran to make progress on opening the Strait of Hormuz, adding the ball was in Iran’s court. Tom Lee echoed the sentiment on social media, posting simply, “Progress = good”.
This big move has added around $100 billion to total market capitalization, which has hit a four-week high of $2.6 trillion. Swissblock reported that its “Risk Index has now transitioned into low risk for the first time since mid-March,” signaling bulls are starting to gain ground over sellers.
Ethereum was the best high-cap performer, but Bitcoin also added 4.7% on the day to reach $74,800, where it found resistance again. Altcoin moves were muted by comparison, but those seeing better daily gains included Solana, WhiteBIT Coin, Hyperliquid, Chainlink, and Sui.
