EIP 1559 upgrade will cut down the supply of Ethereum tokens by destroying outstanding ETH each time users make a transaction on the network. Cryptocurrency experts expect that limiting Ether’s maximum supply will drive the price of the token higher, according to the source.

Ethereum is a network that has many other applications besides cryptocurrency. For example, these include DeFi, non-fungible tokens (NFTs), smart contracts, decentralized apps, and decentralized autonomous organizations (DAOs).

Recent large investments in Ether showed the interest of institutions in the altcoin market. Grayscale Investments purchased 243,519 ETH in February, along with buying other coins such as Litecoin and Stellar Lumens. Moreover, a Chinese AI-driven beauty app maker Meitu invested $22.1 million into ETH last week.

The total supply of Ether is infinite, and its total circulating supply is over 114.97 million tokens. Ether’s market cap is around $210 billion at the moment of writing, according to CoinMarketCap.com data.

ETH price is up over 8% in the past 24 hours and over 149% above its closing price on the last day of 2020. At the time of writing, the token is trading at around $1,814.

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