Ethereum (ETH) is finally a proof-of-stake (PoS) network after its long-awaited network upgrade finalised on Thursday.
Analyst on ETH price post-merge
The Merge has revamped the world’s largest smart contracts platform – now the biggest PoS chain – and has been touted as a game changer not just in terms of what it brings to the Ethereum ecosystem, but how this could catalyse adoption and bring long term value appreciation for the native ETH token.
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But what about the short term outlook for the token?
According to crypto analyst Rekt Capital, investors who expect sharp short term gains may be disappointed. As the pseudonymous trader points out, bullish effects of the merge for the Ethereum price might only be seen in the long term.
Ethereum has struggled alongside other risk assets over the past several days, and its post-merge performance includes a 6% dip over the past 24 hours.
Currently, the cryptocurrency is trading below the crucial $1,500 level, with an intraday low of $1,474 across major crypto exchanges as shown by data from CoinGecko. Can ETH go lower? Rekt Capital suggests this could be the case, noting that like Bitcoin price after halving, price catalysts for Ethereum could take effect “months” into the post-merge era.
“The investor who is disappointed with ETH price action post Merge is likely the same investor who’d be disappointed with BTC immediately post Halving. BTC only begins to rally strongly months post Halving,” he opined on Twitter. “Such catalysts have delayed, more long-term effects on price.”
ETH yet to retest key support level
On what the next key price level to watch might be, crypto investor Scott Melker suggests a retest of the area around $1,284. The zone could offer a massive buy opportunity, the analyst tweeted.
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Source: https://invezz.com/news/2022/09/15/ethereum-price-why-eth-might-disappoint-post-merge/