The Ethereum nearly doubled in price during the same time period.
The world’s second most valuable cryptocurrency was boosted by a major upgrade to its underlying network, limiting the supply of the token and fuelled debate that Ethereum could eventually “flip” bitcoin.
The latest price surge means ether is up nearly 300 percent since the start of 2021, compared to a 40 percent hike for bitcoin. This has helped push Ethereum’s market cap from one-fifth of bitcoin’s to nearly half its value.
The entire crypto industry is quite excited about the latest Ethereum network upgrade. It will have a positive impact on investors as it is expected to bring in a lot of transparency in terms of transaction fees on the network, say experts
If you are a cryptocurrency investor, you would recently have received a message from your trading platform that it has disabled deposits and withdrawals for Ethereum (ETH). These facilities were restored by the exchanges late on Friday. The reason was that a major technical upgrade, called ‘The London Upgrade’ or ‘EIP -1559’, was being deployed on the Ethereum network.
The London upgrade and its need: It refers to a set of interconnected upgrades that will make Ethereum more scalable, more secure, and more sustainable.
“The Ethereum upgrade is popularly known as ‘London Hard Fork’. The major change we will see in this is how the transaction fee collected by the computers for processing the transaction is handled and distributed. This upgrade will mandate a part of the fee to be destroyed,” said Sathvik Vishwanath, co-founder, and chief executive officer, Unocoin.
In other words, only part of the actual fee charged to process a transaction would reach the person who is providing his processing power.
“Such destruction of cryptocurrency is possible by sending them to a null address and such payments can never be reversed or recovered or moved to another account. This is interesting because, over time, this would reduce the ether in circulation, which could push its price higher,” he added.
Impact on investors: According to experts, the upgrade is expected to boost the price of ether in the medium to long term, which will strengthen investor sentiment around the world’s second-biggest cryptocurrency.
“It will be exciting to see the bitcoin vs ether phase after the upgrade, as there are already some flipping conversations going on between ether and bitcoin in terms of market capitalization. There is a huge gap in the value between the two, but ether is the only strong competitor of bitcoin in the crypto world. However, it is important to note that Ethereum is already ahead of bitcoin on various other factors,” said Thakral.
While bitcoin’s most well-known use case is a store of value, Ethereum has several real-world applications such as decentralized finance (Defi) and smart contracts.
Ethereum Long (Buy) Enter at: 3162.014559 T.P_1: 3382.919815 T.P_2: 3685.189819 T.P_3: 3910.616128 S.L: 2862.932622
All information on this website is of a general nature. The information is not adapted to conditions that are specific to your person or entity. The information provided can not be considered as personal, professional or legal advice or investment advice to the user.
Signal Factory is not represented as a registered investment consultant or brokerage dealer nor offers to buy or sell any of the financial instruments mentioned in the service offered.
While Signal Factory believes that the content provided is accurate, there are no explicit or implied warranties of accuracy. The information provided is believed to be reliable; Signal Factory does not guarantee the accuracy or completeness of the information provided. Third parties refer to Signal Factory to provide technology and information if a third party fails, and then there is a risk that the information may be delayed or not delivered at all.
All information and comments contained on this website, including but not limited to, opinions, analyzes, news, prices, research, and general, do not constitute investment advice or an invitation to buy or sell any type of instrument. Signal Factory assumes no responsibility for any loss or damage that may result, directly or indirectly, from the use or dependence on such information.
All information contained on this web site is a personal opinion or belief of the author. None of these data is a recommendation or financial advice in any sense, also within the meaning of any commercial act or law. Writers, publishers and affiliates of Signal Factory are not responsible for your trading in any way.
The information and opinions contained in the site are provided for information only and for educational reasons, should never be considered as direct or indirect advice to open a trading account and / or invest money in Forex trading with any Forex company . Signal Factory assumes no responsibility for any decisions taken by the user to create a merchant account with any of the brokers listed on this website. Anyone who decides to set up a merchant account or use the services, free of charge or paid, to any of the Forex companies mentioned on this website, bears full responsibility for their actions.
Any institution that offers a service and is listed on this website, including forex brokers, financial companies and other institutions, is present only for informational purposes. All ratings, ratings, banners, reviews, or other information found for any of the above-mentioned institutions are provided in a strictly objective manner and according to the best possible reflection of the materials on the official website of the company.
Forex trading is potentially high risk and may not be suitable for all investors. The high level of leverage can work both for and against merchants. Before each Forex investment, you should carefully consider your goals, past experience and risk level. The opinions and data contained on this site should not be considered as suggestions or advice for the sale or purchase of currency or other instruments. Past results do not show or guarantee future results.
Neither Signal Factory nor its affiliates ensure the accuracy of the content provided on this Site. You explicitly agree that viewing, visiting or using this website is at your own risk.