Ethereum Surges 20% After Pectra Upgrade Sparks Investor Confidence

Ethereum- Pectra Upgrade Triggers ETH’s Biggest Daily Gain Since 2021

Ethereum (ETH) rallied over 20% on Thursday evening ET, briefly crossing the $2,200 mark. The surge followed the much-anticipated Pectra upgrade, which introduced major improvements to staking, validator efficiency, and Layer 2 scalability. According to investing.com, this was ETH’s largest single-day gain since May 2021.

Min Jung, research analyst at Presto Research, commented on the shift in sentiment:

ETH is finally catching up after lagging behind $BTC for most of the year. The recent Pectra upgrade has helped restore some confidence, and with ETH/BTC down nearly 40% year-to-date at 0.02, it’s not surprising to see buyers stepping in at these levels.

Renewed Risk Appetite Boosts Crypto Market

The broader crypto market also saw momentum amid revived risk-on sentiment. Investors appeared more willing to re-enter altcoins after months of underperformance. The timing of Ethereum’s rally aligns with a wider upswing in digital assets, driven partly by improving global trade outlooks.

Nick Ruck, director of LVRG Research, said the Pectra upgrade was a key catalyst:

In addition to positive macroeconomic news, traders believe the crypto industry may have finally found its second wind as a hedge against market uncertainty.

Bitcoin Joins the Rally, Tops $102K

Bitcoin (BTC) extended its gains, rising 4% to trade around $102,526. Analysts cited optimism surrounding U.S.–China trade negotiations, set to resume in Switzerland, as an additional driver of the market rally.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Cryptocurrencies and stocks, particularly in micro-cap companies, are subject to significant volatility and risk. Please conduct thorough research before making any investment decisions.