FOMO is alive and well in cryptocurrency, with less-known tokens outperforming again after recent rallies held by Ether and Bitcoin industry leaders.

Cardano, now the third-largest cryptocurrency, has seen its value double this month. Binance Coin is also on the rise. Avalanche, a token that tripled in August, has also increased. Prices for digital photos with laser eyes on rocks and cartoons of cute animals are exploding, sometimes even quadrupling, in the meantime.

Analysts and investors aren’t sure what is driving the frenzy. Some believe that speculators are shifting away from the mainstays and into newer, more exciting options, as they do often after large runs. Others see a world that is flooded with cash and at ultra-low rates which eventually pushes investors towards ever-more valuable assets. A few tokens have strong narratives backing them, such as technological advancements at the Cardano or Solana networks.

Yoni Assia is the founder and chief executive at eToro. He said that you can see the excitement in crypto in the industry’s numbers, regardless of whether they are looking at total volume or growth of companies.

Assia refers to it as a “generational buying moment” and cites a confluence a number of events including rock-bottom interest rates around the world as well as huge fiscal stimulus efforts that provided checks to many people during this pandemic.

A portion of the money was used to purchase cryptocurrencies and other related assets such as stocks of digital miners. According to The Harris Poll for Yahoo Finance, 15% of Americans who received their first two stimulus checks made investments with part or all of that money. About half of these individuals invested in cryptocurrency, according to a survey of over 1,000 adults in the United States.

Inflation has also materialized as economies reopen. This plays into warnings by crypto-faithful of imminent hyperinflation. Assia stated that all of this is ‘leading many people to look for different types of investments’.

A survey conducted by eToro revealed that nearly 25% of the 6,000 respondents own crypto. This number rises to almost 50% for the younger group. The average investor is expected to increase their crypto allocation over the next few months, and there is significant interest in altcoins and alternatives to Bitcoin and Ether.

Downloads of crypto trading apps are on the rise — Coinbase Global Inc. was ranked 11th in Apple’s iPhone app downloads according to App Annie (a mobile data and analytics provider). It was 23rd in its category for August. The ranks have been climbed by digital exchanges Voyager, Kraken and Crypto.com.

“With all the money that is floating around, it shouldn’t surprise that people are paying exorbitant amounts for digital pet rocks, and an endless number of digital assets that can easily be created,” said Michael O’Rourke (chief market strategist at JonesTrading).

He said that the space is dominated today by younger generations. They know nothing but a Federal Reserve that has been almost-perpetually accommodating. He said that crypto has attracted many people to the space because of its accessibility and lack of government regulation.

Assets under management for digital asset investment products have increased more than 57% to $55 billion since July. According to CryptoCompare data-tracker CryptoCompare, the average daily aggregate trading volume rose by more than 46% to $544million, marking the largest month-over-month increase since May.

Altcoins like Cardano and Avalanche have received a lot of attention. The Bloomberg Galaxy DeFi Index, which tracks the most important decentralized finance apps and protocols — has seen a 50% increase in its value since July’s beginning.

“There has been a lot of positive sentiment about crypto lately: NFTs have led the revival, and the crash in May is now behind us,” said Sam Bankman Fried, chief executive officer at crypto exchange FTX.

There are also other blockchains that want to compete with Ethereum. Avi Felman is the co-portfolio manager of BlockTower Capital. He said that now that Ethereum has been upgraded, speculators will turn their attention to rival blockchains and their tokens.

The U.S. equity markets are still setting records every day. The Meme stocks are also going crazy. Jason Urban, cohead of Galaxy Digital Trading said that crypto can only be a benefit when the market is in such a risky mood.

According to Wei Liang, DBS Singapore, the correlations between Bitcoin daily returns and the S&P 500’s annual returns were very low in the four years ended in 2019. This changed last year. He said that Bitcoin and U.S. stocks both fell during the pandemic and have since rebounded together.

Urban stated that people are now concerned about inflation and money supply. Historically, people have always suggested buying stocks to hedge against inflation. Urban said that crypto is also an option.

Fidelity Investments’ digital assets division has made Bitcoin its main focus. Christine Sandler, Fidelity’s head of marketing and sales, stated that 90% of its largest clients are asking about Bitcoin in an interview with The Boston Globe.

Fidelity’s president of digital asset business, Tom Jessop, stated to the Boston Globe, that Fidelity is making a long-term bet on the development of a new type of financial infrastructure around Bitcoin.

Jessop stated that Bitcoin is becoming a more popular asset in institutions.

Jessop answered a question about altcoin support and said, “I don’t believe we’ll ever become the most comprehensive provider in terms of asset coverage.” Fidelity currently mines Bitcoin and custodies it for institutions to ensure its safety, soundness, and security.

Christine Sandler said, “We’re dealing primarily with traditional investors, so the entry vehicle into this space is largely Bitcoin.” But she also stated that altcoins such as ethereum are not nearly as popular as bitcoin.

Jessop stated that institutions are increasingly using Bitcoin to hedge against inflation.

Jessop pointed out that the sharply rising Bitcoin price piqued interest in high-profile investors like Paul Tudor Jones and Stanley Druckenmiller as a store value. ‘That’s when the match to the bonfire was set.

Jessop expressed optimism regarding the recent push for regulation of Bitcoin, as long as it is not overregulated. He said that he was supportive of regulation. However, regulations must be proportionate to other asset classes in order for this asset class to grow and investors to trust what he and others are doing. While we don’t believe it should be excessively regulated, we do think it should be as consistent with other financial products purchased by consumers and institutions today.

Fidelity applied for approval of a Bitcoin ETF in March, as many other financial institutions did. This was due to the increasing demand for investment vehicles that have Bitcoin price exposure in the U.S.

Fidelity has been mining Bitcoins since 2015. According to the report, its operation now relies primarily on hydropower from Canada and other renewables. The scale of Fidelity’s bitcoin mining operation is unknown, but it is reportedly small yet profitable.

In an interview published Friday by GQ magazine, KSI, a well-known rapper and Youtuber, discussed bitcoin and cryptocurrency.

KSI is Olajide Olayinka Wilkins Olatunji’s real name. He is also known by the nickname JJ. The Sunday Times ranked him second in its 2019 list of top 100 U.K influencers. He is also part the British Youtube group, the Sidemen.

KSI responded to a question on what he would do if he was prime minister.

I would give everybody PS100 worth bitcoin. It’s like a Bitcoin stimulus package for everyone. Crypto is something I am passionate about. Bitcoin is my future.

He said, “It’s certainly going to be long-term, but in ten year’s time, people who invested” would be laughing.

KSI then compared bitcoin to fiat currency. “Just think about how inflationary money is compared to bitcoin. It is not. He emphasized that there is a fixed amount to bitcoin. You can’t increase it and that it has value.

It seems like many people don’t see that. They are looking for quick cash like “Oh, I want in and out.” This is a long-term thing, and I’m here to enjoy the ride.

Last month, he shared the story of how he made millions of pounds investing in cryptocurrencies, including bitcoin, and ‘lost it all’ when the crypto market ‘crashed.’ He believes that eventually, you will get a $100,000 bitcoin and a $500,000 Bitcoin, as well as a $1,000,000 bitcoin. It is going to happen.

Mohamed El-Erian, President of Queens College at Cambridge University, has called on the crypto community and western governments for cooperation.

This Egyptian-American businessman is also the chief economic advisor at Allianz. Allianz is the corporate parent to PIMCO, which is one of the largest investment management companies. He was previously CEO and co-chief investor officer. He was also elected chair of Gramercy Funds Management last year, an investment firm specializing in Emerging Markets.

El-Erian wrote this opinion piece in the Financial Times, published Thursday.

More western governments must stop dismissing crypto as a mixture of illegal payments schemes and reckless financial speculation.

He advised that they be more open to accepting the innovations of cryptocurrency and channeling them in the best direction for finance, society, and the economy.

He spoke out about this topic in a Yahoo Finance interview on Friday. He stated that both the crypto world as well as governments must come together to speak the same language. “We have important innovations in the crypto revolution that have to do the payment system. We must take this seriously.

He said, “Why must we take it seriously?” There are two reasons. It can improve financial intermediation efficiency. If we don’t pay attention, China may take a top-down approach and start to set the agenda.

Advisor also suggested that crypto supporters should be more involved in regulatory and energy issues. He suggested that they move away from a zero-sum mindset, where their gains are limited to the losses of the established financial systems.

Both sides of the crypto-world in the west might find their futures determined by the actions and intentions of a China that is faster moving than them if they don’t adopt a more cooperative approach.

El-Erian stated that the crypto community must be concerned about illegal payments, money laundering and energy use.

He explained that many countries, including the U.S. are skeptical about cryptocurrency. There are two possible risks if the governments and the crypto community don’t cooperate. The Allianz advisor explained:

Internal risk is that the government may see more adoption by the private sectors. It’s something we are already seeing every day so it’s not going away. China isn’t waiting.

El-Erian pointed out that China already has a decided on how digital money should look. Why? It gives it regional access to payment platforms. It also gives it access data. We must take it seriously or we will lose the narrative.

After recovering from multi-month highs, the safe-harbor U.S. dollar (yen) and yen were on the back foot Thursday. This was despite a recovery of risk appetite due to strong earnings that lifted Wall Street stocks.

After Tesla Inc TSLA, cryptocurrencies rallied. CEO Elon Musk stated that the company would most likely resume accepting bitcoin payments.

After a 3 1/2 month high of 93.194, the dollar index =USD, which measures currency against six major peers, fell to 92.810 on Wednesday.

The yen traded at 130.045 for euro EURJPY=EBS after a nearly four-month high of 128.610 earlier in the week and at 81.00 to Australia’s dollar AUDJPY=EBS after a five-month peak of 79.55.

Tapas Strickland, a National Australia Bank analyst, wrote that strong earnings had swept away Delta concerns from the U.S.

He stated that the consensus was that the Delta strain does not pose an immediate threat to recovery. This delay will be for three months, as countries increase vaccinations in response.

Sterling GBP=D3 traded for $1.3708, after recovering from a 5 1/2 month trough of $1.35725 on Tuesday. This was despite rising Delta variants cases in Britain, and confusion over the lifting of restrictions in England.

The Aussie AUD=D3 traded at $0.7350 after falling to $0.72895 eight months ago. This was despite half of Australia being under lockdown.

The euro EUR=EBS was at $1.1789. This is an increase from Wednesday’s 3 1/2-month low of $1.1752, ahead of the closely watched European Central Bank policy announcement later in the day.

The first changes in strategy will be made by policymakers. They are likely to promise a longer period of stimulus to fulfill their commitment to increase inflation.

Analysts believe that ECB dovishness will weaken the euro in the medium-term.

In a research note, Carol Kong and Kim Mundy, strategists at Commonwealth Bank of Australia, wrote that ‘on balance, the ECB’s new inflation target suggests monetary policies will remain ultra-accommodative over an even longer time’. This will be a headwind to the euro.

“Indeed we expect that the ECB is one of the last central bank under our coverage to tighten its policy.”

Bitcoin BTC=BTSP posted Wednesday’s 7.9% spike – the largest since June – to trade at $32,200.

After a 12% rise, Rival ether ETH=BTSP traded below $2,000