Ethereum’s native cryptocurrency ether has jumped to 28-month highs, taking year-to-date gains to nearly 290%.
The second-largest cryptocurrency by market value crossed above $500 soon before press time to reach the highest level since July 18, 2018, according to the CoinDesk 20.
The move has happened alongside bitcoin's rise to 35-month highs above $18,400.
Apart from the broader market uptrend, Ethereum's impending transition to proof-of-stake looks to be powering gains in ether, according to Nischal Shetty, CEO of Mumbai-based cryptocurrency exchange WazirX. "The belief is that it'll lead to a supply shortage of ether," Shetty said.
While ether is still 185% short of its record high of $1,433, bitcoin needs to rally just 10% from the current price of $18,260 to challenge its lifetime high of $20,000 reached in December 2017.
Ether has gained 6% in the past 24 hours, while bitcoin has increased by over 4%. Other alternative cryptocurrencies like litecoin and bitcoin cash have scored double-digit gains.