Ethereum is set for a major surge in price. However, before exploring this possibility, it is important to understand why the price of Ethereum has been held back. High gas fees, which are not based on the transaction size, have made decentralized finance (DeFi) prohibitively expensive for smaller traders, leading to a divide between the haves and the have-nots. It has been speculated that whales and DeFi founders may have manipulated gas prices upwards to prevent retail traders from joining in. Ethereum Improvement Proposal (EIP)-1559 aims to tackle high gas fees by capping them and burning excess fees, boosting the security of the network and reducing Ethereum’s overall supply. While some miners are unhappy about this, EIP-1559 has already been approved for July during the London hard fork.
Ethereum’s Explosive Potential
If you haven’t been keeping up with Ethereum, it’s time to pay attention because it’s about to explode. The fundamentals have been strong, but the technicals are lining up for the next major Ethereum bull run. Despite past price suppression, the future of ETH is looking bright.
The Manipulation of Ethereum
To fully understand Ethereum’s potential, it’s important to know what was holding it back. Transaction fees, otherwise known as gas fees, were becoming exorbitant, making it difficult for retail investors to utilize DeFi networks. The high fees were benefiting the whales, and accusations of price manipulation were thrown around.
The Arrival of EIP-1559
The Ethereum Improvement Proposal 1559 is set to revolutionize the industry by reducing high gas fees, improving network security and scalability, and addressing Ethereum’s supply problem. While it is not yet clear how effective this proposal will be, it has been greenlit and approved during the London hard fork, and miners are not happy about it. Some have even threatened a 51% attack against the network.
Despite the opposition from miners, holders and investors are happy with the arrival of EIP-1559. This proposal is a significant step towards a better future for Ethereum, making it more accessible to all investors while increasing its overall value. With the right approach, anyone can benefit from the Ethereum bull run.