As Ethereum 2.0 deposits surpass $9 billion, the price of ETH rises.
Ethereum (ETH) has recovered its footing after a significant bearish correction over the last week.
During the deep drop in the broader economy, the world’s second-largest digital currency by market capitalization traded as low as $2,060. Ethereum is currently trading at $2,449.66, marking an increase of 11.20 percent in the last 24 hours and an additional 8.93 percent in the previous week.
The realization that rival chains in the Decentralized Finance (DeFi) ecosystem cannot unseat the Ethereum network as the go-to chain for smart contracts and DApps is fueling Ethereum’s revival. The ostensible Ethereum killer, the Binance Smart Chain, is reportedly experiencing scalability problems, reigniting interest in Ethereum as a whole.
Additionally, shortly before the market crash, Ethereum’s Berlin Upgrade went live on the network’s Mainnet. Although the bear market’s weight has stopped bulls from reminiscing about the upgrade’s benefits in the last week, the market’s continued resurgence is a testament to the protocol’s expected effect. The Berlin Update will act as a precursor to the EIP 1559 upgrade, which will reform the fee structure and transform Ether into a deflationary commodity, among other items.
The Growth of Ethereum 2.0 Is Adding Fuel to the Fire
The total deposits being made into Ethereum 2.0, the network’s Proof-of-Stake (PoS) model, according to on-chain data from Glassnode. According to the information, the value of deposits has surpassed $9 billion, with a current $9,092,018,991.
The growing deposits are critical to the network’s overall health. It means that stakeholders believe in the Ethereum network’s future and are investing appropriately in it. Although the targeted changes are likely to fuel a haphazard change in the crowded blockchain, Ethereum 2.0 has been hailed as the ultimate solution to the network’s problems.
Ethereum is on track to surpass its all-time high of $2,600 as the resurgence continues.