The crypto community is eagerly awaiting the long-awaited upgrade of the Ethereum network, which will see the network transition from proof-of-work (PoW) to proof-of-stake (PoS). Previously known as “Ethereum 2.0”, the upgrade is now called “The Merge”.

Ethereum (ETH) was created as an alternative to Bitcoin (BTC), but is more practical and more expensive than the latter. Up to now, in the 7 years since its birth, it has maintained the second largest market capitalization in the cryptocurrency market, and has been used as the basis for many encrypted projects and innovations (such as: DeFi, smart contracts and non-fungible tokens). widely used. It’s safe to say that a major change in Ethereum, which is pivotal in the entire cryptosystem, will set off a chain reaction. But the Ethereum network also faces issues of scalability and increased network fees.

The Merge upgrade will remove the possibility of mining from the Ethereum blockchain. Instead, transactions will be fully proof-of-stake. The upgrade will make ethereum more energy-efficient and scalable, a strong selling point for ethereum as regulators around the world begin to focus on the carbon footprint of cryptocurrency mining. But it is equally important to make the Ethereum network affordable for ordinary users and institutions.

The Merge has been delayed several times, but Ethereum co-founder Vitalik Buterin recently confirmed that the upgrade has a launch date of September 19, 2022. But this date does not represent a complete transition of the entire Ethereum blockchain to PoS. Several steps are also required for a full upgrade. The above date is most likely the date of the merger of the Ethereum main network and the PoS Beacon chain.

Invest in Ether on StormGain

Ethereum price and supply forecast before and after the Merge update

As Ethereum’s “big day” approaches, cryptocurrency traders are preparing for the market’s reaction. Vitalik Buterin himself has spoken out, detailing his vision in a recent interview. Buterin believes that Merge will not immediately bring a huge price change to Ethereum, saying: “I don’t think it will be factored into the price until [The Merge] is fully released.” The founder said that the market and community It will take some time to get used to The Merge psychologically, during which time the Ether value will fluctuate. Interestingly, Buterin also pointed out that Ethereum will be 55% complete after September, so there are still many optimizations to be done in the future.

Many analysts expect a rebound in ether prices ahead of the Merge upgrade in September, but traders and investors should also note that updates typically follow a network cleanup phase of about 6-8 months, during which time, It may not be possible to withdraw staked ETH.

The supply of Ethereum is also expected to be significantly reduced due to the Merge update due to the adoption of the EIP-1559 protocol (which will consume a portion of the ether to pay transaction fees). This will increase the transaction speed of Ethereum, reduce the inflation level of ETH, and even bring it into deflation.

Vitalik’s recent remarks appear to have spurred price speculation, with ether, Ethereum classic and staking Ethereum all showing strength on the news.

Go to StormGain Official Website

Choose StormGain, trade ether wisely, and meet more possibilities

StormGain remains the best platform to buy, trade and hold ether and over 65 other digital assets.

Invest in Ether before the Merge upgrade, or trade Bitcoin (BTC), Solana (SOL), Cardano (ADA), and other crypto assets with extremely low fees.

Haven’t tried StormGain yet? Sign up for StormGain in just a few seconds and participate in the cryptocurrency market with the best trading conditions through an easy-to-use app.

Sign up now, try a demo account, and experience exclusive features of the platform, such as interest on holdings or free bitcoin mining tools.

Invest in Ether on StormGain