At spot rates, the Ethereum price—considering how tepid market conditions were in the last two to three months, is exceeding expectations.
Perched firmly at second and trading at new 2020 highs, bulls and holders have reversed deep losses of March 2020.
After collapsing by over 40 percent—forcing pessimists to write off the project’s prospects, the Ethereum price is riding high mostly because of how smooth the ride to the Beacon Chain mainnet is.
Set for a possible launch in November 2020, developers are setting the stage ready for the Medalla Multi-client test net.
The Eth2 Validator Launchpad
In readiness for this critical step, ConsenSys and DeepWork Studio announced the launch of the Eth2 Validator Launchpad testnet.
The testnet is rolled out specifically to enable users to track the network’s performance and to enable ETH deposits.
But more importantly, the launchpad is for easy on-boarding of validators without sacrificing security and education.
According to the post shared on June 27, 2020, the overarching goal is to educate validators. This way, they’ll know what they are doing, and why they are doing it.
The gas limit now at 12.5 million
Still, before Eth2, Ethereum users continue to choke with high transaction fees.
Arising from the high demand of the network due to the increasing popularity of DeFi—MakerDAO now holds over $1 billion worth of ETH, miners have once again increased the Gas limit per block to 12.5 million from 12 million.
The ceiling means higher charges per transaction for network users.
Notably, this is the second time miners are increasing this limit in the last four months. Due to the increase, the median transaction fee now stands at $1.31.
However, fees could be over $3 when interacting with DeFi dApps.
Ethereum price analysis
The Ethereum price is now trading at $322 a pop, up 32 percent against the USD. It is also up 11 percent versus the BTC.
From the daily chart, the coin is pumping. After breaking above two crucial resistance levels (now support), ETH bulls are firmly in control.
Not only are candlesticks banding along the upper BB—and diverging away from the middle BB, but there is an uptick of trading volumes. The break above the psychological level was notably at the back of above-average participation hinting of demand.
As long as the middle BB (the 20-day moving average) remains as flexible support, any retest of the $280 and $300 support zone presents another opportunity for aggressive traders.
June 2019 high of $365 should be an ideal target.
Chart courtesy of Trading View
Disclaimer: Views and opinions expressed are those of the author. This is not investment advice. Do your research.