Ethereum rises to $500 for the first time since 2018, and the head of SEC names the reason for Bitcoin’s price rise

Ethereum rises to $500 for the first time since 2018

On Friday, the rate of the second-largest cryptocurrency by capitalization rose to $508.

Ethereum was last traded above the $500 level in June 2018. In 24 hours the asset grew in price by 6%, and in two months — by 62%. Since the beginning of the year, Ethereum has risen in price by 284%, surpassing Bitcoin in profitability, which added only 155% in value.

Since the market drawdown in March, ETH has strengthened by 327%, while Bitcoin has gained 411%.

The head of SEC named the reason for the rise in the price of Bitcoin

Jay Clayton, chairman of the US Securities and Exchange Commission, said that the “inefficiency” of existing payment systems is contributing to the rise in Bitcoin’s popularity.

“We determined that bitcoin was not a security, it was much more a payment mechanism and stored value. Our current payment mechanisms — have inefficiencies those inefficiencies are the things that are driving the rise of bitcoin,” Clayton said.

During his tenure, the head of the SEC rejected nine Bitcoin ETFs. However, Clayton was not a staunch opponent of Bitcoin as such, but he regularly expressed concerns that the average investor might be exposed to unnecessary risk when trading Bitcoin ETFs. Earlier, Clayton announced that he was leaving the post at the end of this year.