stETH Price is Making Impressive Moves, Thanks to the Upcoming Ethereum Merge

stETH price is improving but may get affected if there is more delay in the Ethereum merge

Crypto investors are under high pressure after the second-most popular cryptocurrency, Ethereum, hit US$1k post-crypto crash. The unexpected crypto crash has created a storm in the highly volatile crypto market. Despite the losing moment, there is a piece of good news for Ethereum crypto investors — increase in the stETH price. The main reason speculated is for the upcoming Ethereum merge in September 2022.

stETH: The introduction you need

stETH, also known as Staked Ether, is a popular cryptocurrency pegged to Ethereum at a 1:1 just like stablecoins are supposed to be pegged 1:1 to the US dollar. The stETH price shows that Ethereum is locked on the new Ethereum 2.0 beacon chain on multiple decentralized finance platforms.

At the time of writing, the current stETH price is US$1,492.15 with a market rank of 203. The stETH price is a huge part of the volatility in the crypto market. The de-coupling of the stETH price has remained constant in June 2022 relative to Ethereum. The stETH price also helps to gain staking rewards from the platform of Lido Staked Ether.

The stETH price has started making impressive moves as the date of the Ethereum merge is coming nearer in the crypto market. Ethereum merge is nearer to completing the Proof-of-Stake upgrade for better service to crypto investors. It is one of the most talked-about events in the highly crypto market. There is a slow recovery of the stETH price in comparison to the Ethereum price. Even though it has lost its peg to Ethereum since 2022 as the distressed funds have sold their stETH to face insolvency, it is slowly re-pegging with Ethereum.

There is a hype about Ethereum merge that can show the short in ETH liquidations instigating buying orders from crypto investors that can boost the stETH price movement. But crypto investors must wait for September 2022 to experience the switch from the energy-intensive Proof-of-Work consensus mechanism through Ethereum merge. Crypto investors are scared about more delays in the launch of the Ethereum merge, and the more drastic effect on the stETH price.

But gradually the stETH price is increasing a little bit or recovering at a 4% discount to Ethereum. The closer the date of the Ethereum merge, the better position of the stETH in the cryptocurrency market. The increase in the price tends to affect multiple crypto investors such as the Celsius Network.