Following a number of falls under the $4,000 mark, Ethereum is now back soaring over $4,700 and leading the market into the monthly candle close, advancing over 530% during this year.

Since its decline in October, Ether has hit new all-time highs, with some analysts of the opinion that the world’s second largest cryptocurrency may be on track to hit $5,000 by the end of 2021.

Ethereum’s latest record high, surpassing $4,850 on 10 November, was partly fuelled by growth prospects for the blockchain platform in relation to the so-called metaverse, with Facebook boosting its expansion plans within the online 3D virtual environment.

Moreover, last week institutional investors introduced $23 million into Ethereum products, the fifth straight week of inflows. Bitcoin – the world’s largest cryptocurrency by market cap – is also consolidating, and if Ether has a robust monthly close, the Bitcoin price could move up with it this month.

Both Bitcoin and Ethereum have both hit or closed in on their record highs before the recent drop. Bitcoin hit a new all-time high of more than $68,000 in November. There are also hopes of a Santa Claus rally, barring an Omicron-related stock market plunge. In December 2020 there was a 47% rise in Bitcoin prices over the month, and in December 2017 there was an 80% pump to a new record high at the time, with both in bull markets like we’re currently seeing.

8848 Invest co-founder Nikita Rudenia is confident about the prospect of a Santa Claus rally: “Despite the obvious setbacks thus far, Bitcoin is still on track to close the year at $70,000 per coin and, should this feat be achieved, we may see the coin touch $75,000 in early 2022 before we get a major correction.”