Ether (ETH), the world’s second-largest cryptocurrency, has outperformed its larger rival bitcoin (BTC), with a 33% gain year-to-date. This rally is being driven by catalysts other than the potential approval of a spot exchange-traded fund (ETF), broker Bernstein said in a research report on Monday.
Firstly, the ether supply is deflationary and has not increased since the Ethereum blockchain’s shift to a proof-of-stake consensus model in September 2022, the report said, adding that this fact is being underappreciated.
The amount of ether locked up is also an important factor. Bernstein notes that ETH held on…