Ethereum's stated objective is to create a global platform for decentralised apps, allowing people worldwide to build and execute applications that are immune to censorship, outage, and fraud. Cryptocurrency markets, like US equities, fell late Friday as investors fled riskier assets over fears that Russia may attack Ukraine. Fears of inflation have also contributed to investor jitters. Yesterday, inflation in the United States reached its highest level in 40 years. This has led investors to sell riskier assets, such as stocks and cryptocurrency. Previously, cryptocurrency was supposed to act independently of the stock market, but it has grown increasingly connected in recent years.

When it comes to the crypto industry, Ethereum remains one of the most popular investment options. The returns on the digital asset have regularly surpassed those of top competitors, making it not only a more profitable asset but also a stronger inflation hedge by current standards. Its price, however, has fallen since the market crisis and, despite the rebound, has yet to return to the $4,000 threshold. According to Finder.com's team of fintech experts, Ethereum (ETH) will reach $6,500 by the end of 2022.

Key Takeaways (ETHUSD)

  • The Ethereum blockchain is upgraded as part of the Arrow Glacier upgrade to keep it on schedule. This indicates that the Ethereum blockchain has not yet been upgraded to the PoS paradigm. Furthermore, the Arrow Glacier Ethereum update is important for cryptocurrency miners, consumers, stakeholders, and the impending Ethereum 2.0.
  • The Arrow Glacier network upgrade, like Muir Glacier, modifies the difficulty bomb (ice age) settings, putting it back many months, providing Ethereum 2.0 developers more time to prepare for the transition to the proof-of-stake (PoS) consensus mechanism. It was originally planned for December 2021 and the London hard fork, but it is now expected to happen around June 2022. In this release, one Ethereum Improvement Proposal (EIP) postpones the difficulty bomb.
  • An EIP is a change proposal created and reviewed by the Ethereum community. Mining on Ethereum will become harder and unprofitable as a result of this update, driving miners to hasten the transition to the PoS consensus method. Arrow Glacier is particularly noteworthy since it looks to be the final stretch of the difficulty bomb before Ethereum 2.0 is introduced.

Ethereum (ETH) Price Analysis

Fear & Greed Index: 44, Fear

All-time High: $4,891.70

ROI: 103316.25%

24h change: -6.13%

7d change: -3.57%         

Market Cap: $350,048,909,568

Circulation Supply: 119,548,325 ETH

Total Supply: 119,548,325 ETH

Daily Chart Breakdown of ETHUSD

 

Source: TradingView

ETH's price rebounded from $3280 amid Russia and Ukraine tensions. On a daily timeframe, ETH's price is moving above a rising trendline that was tested around $2400 earlier this year. Considering the bearish momentum, a break below $2700 will push the market back towards the $2400 area.

4h Chart Breakdown of ETHUSD

 

Source: TradingView

ETH's price just broke below the rising channel on the 4h timeframe and headed towards the $2850 level. A break below $2800 will push the market towards $2400. However, if the $2400 level is flipped, $3500 will be the next target for ETH.

1 Hour Chart Breakdown of ETHUSD

 

Source: TradingView

A break below $2800 will push the market towards $2400. And if bulls can flip the $2800 level, ETH's price will go towards $3250.

Final Thoughts

With ETH 2.0 coming, crypto investors are hopeful for a better future. But we'll have to see.

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