About Ethereum
Ethereum is a programmable blockchain that runs smart contracts, stablecoins, DeFi protocols and NFTs. Ether (ETH) pays for transactions and secures the network through proof-of-stake.
What moves the Ethereum price
- Network activity, fees and layer-2 adoption.
- Staking yields and supply changes from fee burning.
- ETF and institutional flows.
- Competition from other smart-contract platforms.
A platform, not just a coin
Ethereum is a programmable blockchain. Developers deploy smart contracts that run decentralised exchanges, lending markets, stablecoins, tokenised assets and NFTs. Every transaction pays a fee in ether, called gas, which gives ETH a direct link to network usage. Much activity now happens on layer-2 rollups, separate networks that bundle transactions and post them back to Ethereum for security. Upgrades such as Dencun in March 2024 made posting that data much cheaper, which lowered fees for users but also reduced the fees Ethereum itself collects.
Supply: staking and burning
Since the Merge in September 2022, new ether is issued to validators who stake ETH to secure the network rather than to miners. Under the EIP-1559 fee design introduced in August 2021, the base fee of every transaction is burned. Net supply therefore depends on activity: in busy periods the burn can exceed issuance and supply shrinks; in quiet periods supply grows slowly. Staked ETH earns a yield, and the share of supply that is staked, along with liquid-staking tokens, is closely watched.
What moves the price
Ether generally moves with Bitcoin and broad crypto sentiment but with higher volatility. Its own drivers include network activity and fees, flows into spot ETFs, the growth of stablecoins and tokenised real-world assets on Ethereum, competition from other smart-contract chains such as Solana, and the timing of major protocol upgrades. The ETH/BTC ratio is a popular gauge of whether ether is outperforming or underperforming Bitcoin.
Liquidity and cycles
Like all major coins, ether trades around the clock, with deeper liquidity on weekdays during US and European hours. Its large moves have tended to come after Bitcoin's in past cycles, but the sample is small and the relationship has weakened as institutional products have changed who holds each asset.
Key facts
| Launched | July 2015 |
|---|---|
| Consensus | Proof of Stake (since the Merge, September 2022) |
| Maximum supply | No fixed cap; part of each fee is burned |
| Block time | 12-second slots |
| Native token | Ether (ETH), used to pay gas fees and for staking |
| Smallest unit | 1 wei = 0.000000000000000001 ETH |
| Regulated futures | CME Ether (50 ETH) and Micro Ether (0.1 ETH) |
| Spot ETFs | US spot Ether ETFs trading since July 2024 |
Crypto trades 24/7 on many exchanges, so prices vary slightly between venues.
Ethereum FAQ
What moves the price of Ethereum?
Network activity, fees and layer-2 adoption. Staking yields and supply changes from fee burning. ETF and institutional flows. Competition from other smart-contract platforms.
Does Ethereum trade 24/7?
Yes. Ethereum trades around the clock on many exchanges worldwide, so prices differ slightly between venues and liquidity is usually thinner at weekends.
Where does the Ethereum data on this page come from?
The chart and technical gauge use the BINANCE:ETHUSDT pair via TradingView; market cap, supply and 24-hour data come from CoinGecko and refresh about every 15 minutes.
Does Ethereum have a maximum supply?
No fixed cap. New ether is issued to validators, while the base fee of each transaction is burned, so net supply can rise or fall depending on network activity.
What was the Merge?
The September 2022 switch of Ethereum from Proof of Work mining to Proof of Stake, which cut the network's energy use dramatically and changed how new ether is issued.
What is gas?
The fee paid in ether to have a transaction or smart-contract operation processed. It rises when the network is busy.
What is the ETH/BTC ratio?
Ether's price divided by Bitcoin's. A rising ratio means ether is outperforming Bitcoin.