The upcoming Ethereum 2.0 upgrade is currently the most common topic in the cryptocurrency industry. Since this is the last step required for the Ethereum network to migrate from the proof-of-work to the proof-of-stake protocol, people are anxious to see what will happen. The expected Ethereum network upgrade has also affected the Ethereum price prediction for 2022.
Everything You Need to Know About the Ethereum 2.0
The migration to a proof-of-stake protocol is meant to fix some of the fundamental problems with the Ethereum network. One of the most significant fixes is improving scalability on the blockchain. Currently, the Ethereum network can only handle 30 transactions per second. This leads to significant network congestion that Ethereum 2.0 promises to solve.
The proof-of-stake migration is also going to make the Ethereum blockchain more decentralized than it has ever been. Over the years, a lack of consensus in Ethereum leadership has led many to doubt the centralization of the system. Proof-of-stake will increase the staking rate thus encouraging as many people as possible to participate in decision-making.
Over the last few weeks, several establishments have increased their participation ahead of the proof-of-stake migration. Investors have also been flooding into the Ethereum community with transaction rates on the blockchain surpassing Bitcoin for the second time ever. Another thing that you should look out for is the Ethereum price prediction.
Ethereum (ETH) Price Prediction Post Proof-of-stake Migration
The increased interest in the Ethereum network has led to a rise in ETH prices across exchanges. However, analysts have predicted that the ETH price will continue to rise long after the upgrade has been completed. The price pattern of Ethereum ETH over the last few weeks supports this ETH price prediction.
At the time of writing, the price of the second largest cryptocurrency was $1,730.82. This means it was down by 2.20% against the USD and trading in the $1,721.63 to $1,782.73 range. This is after maintaining a bullish rally over the last few weeks.