Home / Ethereum / Analyst: Ethereum Constantinople is "decidedly bullish" in the long run

Analyst: Ethereum Constantinople is "decidedly bullish" in the long run

As the cryptography market has been updated with green tickers, Ethereum (ETH) has grown from a start-of-the-year value to $ 81 to $ 150 within a few weeks. In the classic cryptic fashion, this monumental gathering, which almost doubled the value of Ether, was not supported by a clear catalyst. Some looked to the potential advent of the future supported by ETH, while others looked to the imminent update of Constantinople.

An eminent crypto-friendly analyst and commentator, Alex Krüger, recently broke the last, doing his best to determine if Constantinople can (or has) push (ed) Ether higher.

Ethereum Constantinople: is it bullish or bearish?

For those who missed the reminder, Constantinople is the next major upgrade in the Ethereum chronology, since the activation of the protocol will bring the blockchain a step forward towards Serenity (downsizing, Stakeout, etc.). While there are a number of short-term downsizing updates relevant to Constantinople, the launch of the protocol, scheduled for January 16, will cut the blocking awards from three to two Ether.

Taking into consideration the simple supply and demand theories, considering also the price action of the reward rewards of the pre and post blocking bonuses of Bitcoin, many see the debut of the update as a positive signal for l & # 39; ETH. Krüger echoed this sentiment, arguing that, in the long run, the so-called "thirdening" block reward will be "decidedly bullish".

It is interesting to note that the analyst noted that the news concerning the fork of Constantinople may not have pushed Ether higher in the last days. Krüger explained that once the update activation date was decided, ETH increased for one day, before being dropped for eight days in a row, as the bears did not decrease. In addition, the reduction in the block premium was determined on August 31, indicating that the market should have assessed this factor in recent months.

Even the analysis of historical events of similar proportions was not helpful, as the result that the previous reductions in Ether's emissions had on the price of Ethereum varied from time to time.

Yet, Krüger explained that if Ether continues at $ 155 (current price levels), Constantinople will only force the "miners" who are paying $ 0.075 per KWH, which is far from the "spiral of death" that some cynics were waiting for. In the analyst's eyes, hobby miners, who pay $ 0.075 + for KWH or others, will continue to abandon, as this subset of participants

This is, of course, a presumably positive sign for the Ethereum ecosystem, as many experts look to the health of mining prospects to determine correct cryptocurrency assessments.

Related reading: Bitcoin can not fall to $ 0 nor insert a "spiral of death" – the extraction rules consider it so

What else happened with the Ethereum pump?

While Constantinople is likely to be a bullish catalyst for Ether to go ahead, as established, some are still dazed by why the assets rose 60% last week. This wave has made many memories of the bull race of the past, but many have asked: can the ETH continue to soar? And while no analyst can arbitrate a definitive answer, there are a number of factors that could give ETH a fair advantage.

Just a few days ago, the news broke that Consensus Systems (ConsenSys) was scheduled to eliminate half of its employees in an apparent case of blues at the bear market. The Verge, who broke the news, said the New York-based startup would have cut the bridges with spokes, a global name given to internal projects, which was not absolutely essential for the Ethereum Project or ConsenSys itself. Reportedly, this would have led to the dismissal of 50% ~ 60% of the company's 1,200 employees, many of whom were hired only in the last year.

Seeing that ConsenSys is essentially the Ethereum Block, since many of its rays play a key role in the ecosystem, many thought that ETH would end up in agony. Yet, in the eleventh hour, Joseph Lubin, a co-founder of Ethereum and the head of ConsenSys, came to the rescue of the company.

At the same time, the technology entrepreneur declared that he would define a cryptographic fund for 2018/2019, in particular because of the abundant FUD (fear, uncertainty and doubt) that has bombarded the community as a scourge. Interestingly, this harmless message is the first time that a well-known industry insider has openly expressed that the bear market is about to bite the dust.

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