The hype died as expected, but that is because the Ethereum Merge is still about a month away. Ethereum will be switching from the Proof-of-Work mechanism to a Proof-of-Stake mechanism on September 6.ETH will no longer require a large amount of computing power for cryptocurrency minting and verification of transactions for crypto investors. Around 99% energy reduction in crypto markets is favorable for decentralization. The Ethereum merge launch date has increased the price of ETH, helping it recover from the drastic crypto crash during the crypto winter season. The PoS mechanism can ensure crypto investors mint cryptocurrency they haven’t earned in the crypto market. This will help keep the cryptocurrency network secure and running in the crypto market. The Ethereum merge will happen on the Beacon Chain at epoch 144896. investors in cryptocurrency are very interested in ETH products for their ability to integrate smart contracts into their ETH blockchain network. The management of ETH has also created a bug bounty of up to US$250k for crypto investors to identify any critical bug issue in the Ethereum 2.0 version.
After multiple dress rehearsals on multiple different test networks such as Ropsten, Goerli, and many more, Ethereum 2.0 is ready to release. The ETH network has worked on researching, developing, analyzing, testing, specifying, breaking, fixing, and explaining for the triumphant announcement of the release date of the Ethereum merge. The hype around the Ethereum network had built up following the information that the Merge was scheduled to take place on September 15. After the news, the price of ETH saw a massive run-up, briefly touching $2,000.The cost of ETH has slid as the hype around the Merge has begun to die down, and people have gotten used to it. The die-down in hype was expected, but that is because the release is still about a month away. As the market ushers in the new month, investor sentiment is expected to recover. This will likely turn into a ‘buy the rumor, sell the news event, where investors ramp up buying up to the Merge and dump on completion. If this is the case, the price of ETH is likely to touch $2,000 once more before the Merge. The accelerated buying and staking of ETH ahead of the update will also drag the market upwards with it as it previously did, causing others, such as Bitcoin, to revisit local highs. According to experts, an upcoming triple-halving event for Ethereum is expected to result in a price surge.
Given that the two are pretty closely related, they believe that since BTC has mostly reacted positively to halving, it is also likely that Ethereum’s value will surge instantly. Let’s dive deep to understand the ‘triple-halving event’ and the reason behind its importance in raising the value of Ethereum. When the Ethereum network switches to the PoS consensus mechanism after the Merge upgrade is launched, the ETH supply will decrease by about 80% to 90% through a process called ‘burning’ and generating ‘deflationary pressure’ on the network. This is similar to halving the Bitcoin system three times, called the ‘triple-halving’ for Ethereum. The EIP-1599 protocol, also known as the Ethereum London fork, which uses the PoS consensus algorithm, will drastically reduce the issuance of ETH. The demand for Ethereum is expected to increase dramatically in the upcoming months after this development. When is the best time to buy Ethereum? Ethereum 2.0 is scheduled to take over Bitcoin’s position as the largest cryptocurrency in the world, based on expert perspectives. Although there are plenty of assumptions that the Merge upgrade will fail to appease investors, the current price rally proves quite otherwise. According to Hayes, now will be a good time for investors to buy and hold the ETH token to generate massive amounts of profits in the future.
