Will Ethereum Merge Lose Public Enthusiasm Over Price Tag?

Investors might soon lose their interest in Ethereum Merge after Buterin's recent shenanigans

The Ethereum Merge is one of the hottest topics in the cryptocurrency industry right now. The Ethereum 2.0 is the most highly-anticipated event in the cryptocurrency community in 2022, meanwhile, ETH's mainnet is all set to merge with the Beacon Chain's proof-of-stake algorithm. With the emerging launch of Merge, the network is expected to migrate from Proof-of-Work (PoW) to a Proof-of-Stake (PoS) consensus mechanism. This would finally remove the mining process entirely from the Ethereum blockchain. The long-awaited launch of Merge is speculated to be launched around September 2022. Participants have been expecting to witness an immediate price rally with the integration of the Merge. Quite rightly so, Ethereum is up 11% within 24 hours since ETH co-founder Vitalik Buterin said that the upcoming Merge is not yet priced in, and it would only be priced after the Merge protocol goes live.

Initially, Ethereum investors had already started to lose interest in Ethereum 2.0 due to its already-delayed launch. Now, analysts are speculating that Buterin's actions to not reveal the value of ETH 2.0 might act as another blow to the Ethereum investors, who might end up losing their interests again! Nevertheless, ETH rose exponentially after the new interest rate hike by the Fed, to reduce the impact of the ongoing inflation, which also triggered a price rally in crypto and stock markets. For now, the Ethereum developers seem to be on the right track to recovery, even after its massive collapse in 2022. ETH plummeted down to three-figure values but seems like it might end the month with US$1,700. According to coinmarketcap, the Ethereum price is revolving around the US$1.6k mark, and might soon break through the US$1,700.

Impact of Ethereum Merge on ETH's Price Actions

Ethereum, the second-largest cryptocurrency by market capitalization has been constantly spiking, reaching its highest price in a month as the network 'merge' fast approaches. Nevertheless, the investment community is still in shock, as they are troubled by rising inflation and a looming recession, and investors continue to sell off riskier assets like equities and cryptocurrencies. They also still have in their minds that Ether is down over 70% since its all-time highs of US$4.8k in November 2022. But right now, the token is pumping again, giving new hopes to some of the most skeptical investors in the market.

Developers have been working on this upgrade for quite a long time. The protocol will make Ethereum almost 99% more energy efficient. Investors and analysts are bullish on the new perspectives that the Ethereum Merge upgrade has to offer. Experts believe that if the growth of the ETH supply is curbed, while the demand for the crypto is still high, then that may have a positive impact on its price. Paired with the emerging merge upgrade, it might provide Ethereum with the perfect opportunity to overtake Bitcoin and take over the reins of the crypto market.

Will investors lose interest in the Merge upgrade?

It seems quite likely that the Merge upgrade will lose the interest of the investors, given its recent popularity amid economic and financial downturns. Currently, the price movements of some of the major cryptocurrencies in the market do not seem to bother the digital assets. The ETH price's current upward trajectory may not be so short-lived this time, and will eventually enable other digital assets to rally.