The euro has risen more than 14 percent against the dollar so far this year due to optimism about economic growth and fewer political risks, and this climb is expected to continue, according to several market analysts.
"Long euro is not really a crowded trade right now. There is reluctance to believe it will go a lot higher but there is still upward pressure at this point," Tom Clarke, partner and co-portfolio manager at William Blair told CNBC's Street Signs on Tuesday.
The common currency is currently the best performer among developed market currencies. It has traded between $1 and $1.40 over the past few years, so its current level is around the middle of the range, Clarke added. As such, the current bullish run of the currency isn't over.
Part of the reason for the euro's strength is that other major world currencies are looking less popular.
"I think it has moved too far too soon but ultimately it is optimism on European equities that is moving the euro," Christopher Peel, chief investment officer at Tavistock Investments, told CNBC's Squawk Box.
"No one wants the pound and no one wants the dollar."