US Stock Futures Nudge Higher, Ether Breaks $3,000

US Stock Futures Nudge Higher, Ether Breaks $3,000

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Key Takeaways

• US equity futures positive ahead of the opening on Monday
• Bitcoin’s market share slips as Ether climbs above $3,000

US futures edge higher on the first trading day of May, following a strong month of record highs for all three benchmark indexes. On Monday, investors remain optimistic over the outlook for the US economy, despite inflation risks and a coronavirus flare-up in some countries around the globe. Futures contracts tied to the Dow Jones Industrial Average moved to the upside by roughly 0.30% in pre-market hours today. S&P500 futures indicate a higher open by about 0.20%, while Nasdaq futures are relatively flat.

Positive economic data has been boosting the stock market over the past month as participants continue to expect a strong rebound in the economic recovery. Moreover, last week’s monster earnings by large-cap tech companies fueled investors’ optimism that there is more room to the upside, despite the lofty valuations of the highflying tech sector.

Meanwhile, the cryptocurrency market’s valuation has been shifting from bitcoin to alternative coins. Ether, the crypto token used for the Ethereum blockchain network, pierced through the $3,000 mark on Sunday. The new milestone for the second-biggest digital asset has brought its valuation above $355bn for the first time. Today, Ether is trading near the $3,100 level, currently in its eight-straight day of gains. During the current positive streak, Ether has moved higher by 42%.

Elon Musk Talks Doge Ahead of SNL Appearance

In contrast, bitcoin, the largest cryptocurrency, has been losing its upside momentum as other tokens are drawing interest. Bitcoin remains unable to reach its all-time high from three weeks ago and is now trading around 12% below the peak of $64,800 on Apr 14. Bitcoin’s market share has slipped to 47% on Monday, down from nearly 70% at the start of the year.

Bitcoin’s price currently circulates $58,000. Still, the flagship cryptocurrency marks an increase of 23% from its latest bottom eight days ago when the price reached a two-month low of $47,000. The recent rotation from bitcoin to a variety of tokens, according to crypto advocates, suggests that investors in the crypto space are finding value in other projects on the blockchain, helping to diversify the crypto market valuation. Ethereum now holds about 15% of the total market capitalization, while thousands of other cryptocurrencies make up the remaining 38% share of the crypto market valuation.

Dogecoin, the cryptocurrency favored by the billionaire Elon Musk, has been heating up in the past week. The Shiba Inu-themed coin jumped around 50% in the past seven days after the Tesla chief tweeted another message related to the coin. “The Dogefather SNL May 8”, Mr. Musk said on Apr 28, referring to his scheduled appearance in the Saturday Night Live show.

In a continuation of the discussion, Elon Musk confirmed that a skit on Dogecoin will be featured in the upcoming SNL show. The Tesla and SpaceX CEO took to Twitter for skit ideas he should commission for the show. Mr. Musk replied “Definitely” to a tweet requesting he mentioned Dogecoin. The cryptocurrency that originated as a joke in 2013 now boasts a valuation of roughly $50bn and is up nearly 10,000% year-to-date.