Ethereum developers have activated the final stage of the Pectra upgrade on the Hoodi testnet, bringing the blockchain closer to its highly anticipated mainnet update. If this test proceeds smoothly, the hard fork could roll out in just 30 days.
However, despite the buzz around the upgrade, Ethereum’s price remains relatively flat, with a slight downward momentum. So, what should investors expect?
Ethereum Deploys Pectra Upgrade on Hoodi Testnet
Ethereum’s final Pectra test went live on the Hoodi network on Wednesday, marking the final stage of testing before the mainnet upgrade.
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This final test brings the network closer to a full upgrade implementation, which is expected to enhance Ethereum’s scalability and security.
Developers confirmed that if this test ran smoothly, the Pectra upgrade would be scheduled for deployment 30 days later.
The Pectra upgrade aims to address congestion issues by improving Ethereum’s transaction throughput and reducing latency. This will allow the network to serve a larger number of users more efficiently. Additionally, the upgrade is designed to optimize the proof-of-stake mechanism, further strengthening Ethereum’s infrastructure.
One of the key innovations of the Pectra upgrade is the ability for developers to run smart contracts directly on wallets. Additionally, users will be able to pay gas fees in various tokens, rather than being limited to Ethereum (ETH) alone.
The successful deployment of the Pectra upgrade on the Hoodi testnet has sparked optimism in the crypto community, leading to whale accumulation in anticipation of the improvements.
Whales Are Accumulating, But ETH Price Remains Stagnant
According to Lookonchain data, four whale addresses withdrew nearly 16,000 ETH, valued at around $32 million, from major crypto exchanges such as Binance, Gemini, OKX, and Kraken following the Hoodi testnet upgrade.
Despite this, Ethereum’s price has remained stuck around the $2K level, showing a slight 0.2% increase in the past 24 hours, even amid positive developments on the network.
Indeed, the price has briefly dropped below the $2K level twice in the past 24 hours, resulting in $44 million worth of ETH liquidations, according to CoinGlass data.
The largest single liquidation order in the market occurred on the HTX exchange, worth $3.95 million in the ETH-USDT trading pair.
Ethereum Price Forecasts
Despite the negative sentiment surrounding Ethereum (ETH), crypto analysts and traders remain optimistic about its future.
Many believe that $ETH is currently undervalued and continues to perform well compared to most altcoins, despite not showing significant positive changes in price.
According to crypto trader @Astronomer, ETH is at a crucial price level at its range low and could experience a significant upward move, especially as both ETH and Bitcoin (BTC) are expected to reach higher highs by mid-April.
“We have some good clues on the chart to where $ETH is headed,” Astronomer says in his X post.
According to him, Ethereum ($ETH) is currently at a key support level within a clear macro range. Despite an initial expectation for a larger downward move after $ETH swept its March 2024 high, the current setup strongly indicates a likely revisit of $4,000.
Additionally, with Bitcoin ($BTC) at its lows, the timing of $ETH’s cycle lows aligns with past patterns, reinforcing a bullish outlook for $ETH in the near future.
And as another crypto analyst @TedPillows puts it, “$ETH is getting closer to a breakout,” adding that people may be tired of ETH, but a short squeeze is inevitable and “the only question is when.”
Why This Matters
The success of the Pectra upgrade is critical for Ethereum’s scalability, as it could signal a new era for Ethereum, potentially spurring long-term growth despite current market fluctuations.
