Ethereum Shows Sign of Life, Rockets 50% in 6 Days

• Ethereum has increased by a massive 50% in just six days.
• The planned release date of Ethereum 2.0, the much-anticipated event for the whole sector, is another significant development.
• Fed Governor Christopher Waller and St. Louis Fed President James Bullard favor a 75-basis-point increase this month.

The price of ETH/USD opened at $1339.09. Within the day, it had reached a low of $1336.74 and a high of $1504.38. It is currently trading at $1484.73. In the previous week, Ethereum price movement showed a significant spike. Their presence has been very noticeable. After its most recent surge, it displayed indications of a negative reversal. On July 13, ETH’s most recent rebound began from the day’s low of $13.34. Since then, it has seen a consistent bullish increase and risen by about 50%.

Ethereum Rockets 50% in 6 Days

Ethereum has increased by a massive 50% in just six days. The network developments are the key reason for this price increase. The transition to a proof-of-stake (PoS) network underwent final testing when Ethereum’s ninth shadow fork came online on July 15. The latest Sepolia hard fork, which occurred on July 6, was intended to test the improvements. It will also highlight the maximal extractable value (MEV) enhancement feature. In essence, this one is the maximum value recovered from block production in addition to the block reward and the usual gas fees.

Miners now extract MEV since the network relies on proof-of-work to function. However, after “The Merge” occurs, validators will be able to get the maximum value.

Ethereum 2.0 Remains in Highlights

The planned release date of Ethereum 2.0, the much-anticipated event for the whole sector, is another significant development. The long-awaited event will allow Ethereum’s mainnet to connect to its Beacon Chain. The consolidation, which will result in Ethereum 2.0, aims to address the organization’s concerns with adaptability by clearing the way for upcoming improvements, such as sharding. According to Vitalik Buterin, an Ethereum co-founder, the smart contract platform will eventually be able to handle 100,000 trades per second using second-layer structures after the redesign is complete.

The remarkable agreement stage will now become the evidence of stake structure according to a strict timeline put forward by Ethereum (ETH) developers. The creator of the Ethereum center, Tim Beiko, stated that the ETH blend is already scheduled for September 19. Another ETH designer agreed with Beiko’s order of events and pointed out that the time frame for consolidation is not set in stone.

The enthusiasm surrounding the Merge and the increase in Ether staking were likely factors in the ETH upward breakout in the past few days. According to Coinmarketcap, ETH is going up today, increasing by 9.68% to trade at $1,484.70. Furthermore, the entire crypto market capitalization has added over $80 billion in July alone. This is another factor giving a push to the leading digital coins, including ETH.

US Dollar and Bitcoin Impacting Ethereum

The recent recovery in the price of the world’s largest crypto coin, Bitcoin (BTC), was another important factor in keeping the Ethereum price higher. Bitcoin (BTC) continued its upward trend. It broke through the $22,000 resistance level against the US dollar. Therefore, if the BTC price remains above the 22,000 level, we may see a further uptrend in Bitcoin.

Weakness in Dollar Pushes ETH Higher

The US dollar has dropped slightly after reaching multi-year highs. Last week, the dollar index reached its highest level since September 2002, following the release of consumer price data on Wednesday. It showed inflation accelerating at the fastest rate in four decades. However, the gains were short-lived, as they were reversed later.

Moreover, the expectations for a massive tightening by the Federal Reserve at its July meeting have been reduced. Meanwhile, Fed Governor Christopher Waller and St. Louis Fed President James Bullard favor a 75-basis-point increase this month. As a result, declines in the US dollar assist crypto coins such as Ethereum (ETH) in gaining traction.