Ethereum, July's Rise Double Bitcoin's...Will the Rally Continue in August?

▲ Ethereum (ETH)

Ethereum (ETH) surged 20% in July, recording its strongest monthly gain in a year.

According to CryptoPotato on August 2 (local time), Ethereum dropped to around $1,500 in early July before soaring to $1,980. Although it gave back some of its gains, it closed the month trading at approximately $1,900. Its monthly gain of about 20% significantly outpaced Bitcoin's (BTC) 9%.

After hitting an all-time high in August last year, Ethereum closed lower for six consecutive months. It fell by 22.38% in November last year and sharply dropped by 17.52% and 19.81% in January and February this year, respectively. While it rebounded by about 7% in March and April, it fell by 11% in May and 21.7% in June.

The key question is whether the upward trend can continue in August. Ethereum surged by approximately 93% in August 2017 and also rose by 25.32% and 35.62% in 2020 and 2021, respectively. In August last year, it also recorded a double-digit gain, surpassing its previous all-time high.

However, August's performance has been distinctly mixed between gains and losses. The remaining six Augusts since 2016 all ended in declines. It plunged by about 35% in 2018 and fell by 21.31% and 22.21% in 2019 and 2024, respectively. Despite the sharp rise in July, warning signs regarding short-term price movements have emerged, making it difficult to definitively conclude a further rally based solely on past gains.

[Key Summary of Article]

-Ethereum rose by about 20% in July, significantly outperforming Bitcoin's monthly gain of 9%.

-Ethereum has historically surged up to 93% in August but has also declined six times since 2016.

-Despite a strong rebound in July, the extremely mixed August performance is a key variable for further gains.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*