Why Ethereum Could Beat Bitcoin and Altcoins with Merchant Demand

• The crypto options market is showing a sudden revival of interest in Ether.
• Over 20,000 contracts were bought targeting the $3,000 level by December 27, 2024.
• Ether hovers around $2,400 on Saturday, down nearly 1% on the day.

Ethereum has traded in a range between $2,000 and $4,000 throughout 2024. The second largest altcoin has yet to see gains in response to institutional demand from the Spot Ethereum ETF.

The key market moment for altcoins is currently the activity of traders in the options market.

Ethereum options traders are bullish on a rally

Ethereum options traders are likely anticipating a rise to the $3,000 level, a key psychological barrier for the altcoin, by December 2024.

Data from QCP Capital’s recent issue shows that more than 20,000 contracts targeting the $3,000 level were bought by options traders.

The contracts expire on December 27, 2024, which means traders expect the altcoin to hit the $3,000 target by the end of the year.

Coinbase’s cbBTC news is another catalyst that could drive altcoin gains.

The sudden resurgence of cryptocurrency trader interest in Ethereum and an increase in chain utility with the launch of cbBTC are pushing Ethereum back into the spotlight and supporting an optimistic case.

Ethereum is trading at $2,418 at the time of writing.