All eyes are currently on the ETH Merge event which is less than 24 hours from now. The Ethereum Merge is probably the biggest event in the history of crypto considering the scale of transition.
The ETH price is currently hovering around $1,600 and has come under selling pressure just ahead of the Merge. While as the Merge happens, institutional investors would be watching closely.
The transition of Ethereum to a Proof-of-Stake blockchain network will make it more scalable, efficient, and even environmental-friendy. Thus, it would tick almost all the checkboxes that institutional players would be looking for. Speaking to Bloomberg TV, Teong Hng, co-founder at digital-asset platform Satori Research, said:
“The market is pricing in a virtually successful Merge to happen. For institutional investors, ones who are ESG conscious, they will use this as an opportunity to dip their toes into blockchain, into tokens, into Ethereum.”
Ethereum’s ability to host and run smart contracts makes it the ideal blockchain for several applications involving dApps, DeFi, and other things.
ETH Outlook Post the Merge Event
Since the low of $1,000 in June 2022, the ETH price has rallied strongly gaining nearly 90% before retracing once again. Some of the crypto market analysts believe that the Merge would be a ‘sell-the-news’ event with the optimism around it slowly dying.
They also feel that the global macros would overshadow the Merge excitement which might lead to some selling pressure on the world’s second-largest cryptocurrency.
However, some market analysts have been bullish about ETH going $3,000 by the year-end. This means another 100% gain from the current price levels. Arthur Hayes, CEO of crypto exchange BitMEX, was the first to make this bold prediction.
Stefan Rust, chief executive of blockchain development house Laguna Labs, also believes that the medium and long-term outlook for Ethereum remains positive. He believes the ETH price to touch $3000 by the year-end and could also achieve the “flippening” in time, meaning ETH could emerge as the world’s largest cryptocurrency.