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Ethereum Price Predicted to Climb in the Long Run as Buterin Explains Need for Higher Coin Values
Ethereum Price Predicted to Climb in the Long Run as Buterin Explains Need for Higher Coin Values

Ethereum News - Binance Announces Support for Ethereum’s Upcoming Constantinople Hard Fork

  • Alex Morris
    📰 News

    The hard fork is seen as a very risky move for Vitalik Buterin who famously stated that he puts technology over price momentum

Binance Announces Support for Ethereum’s Upcoming Constantinople Hard Fork
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Binance, the number one exchange by trading volume, has just made an announcement about supporting Ethereum's hard fork, which is dubbed Constantinople. The long-awaited system-wide upgrade is scheduled for Jan. 16.

The very ‘hard’ fork

Back in October, the fork was postponed with several bugs in the code supposedly prompting the delay. The team of developers came to the conclusion that it would be unreasonable to release a fork in 2018. Jan. 12 or Jan. 16 were among initially suggested dates with the latter being eventually confirmed by one of the developers on Twitter.

 Binace pledges to deal with all technical issues that Ethereum holders can potentially experience.  

Controversial changes  

As practically any hard fork, Constantinople is not devoid of controversy. One of the proposals is aimed at reducing the block reward (from 3 ETH to 2 ETH), which made it hard to come to terms with miners. The fork also marks an important step in the transition from proof-of-work (PoW) to proof-of-stake (PoS) – one of the biggest pain points of the upgrade given that many developers felt left out by the rest of the community. Despite the gargantuan risk, Constantinople will potentially result in faster and cheaper transactions.

Controversial changes


After the Bitcoin Cash turmoil, many remain cautious about Constantinople (despite the fact that it’s an upgrade, not a split). There is a possibility that a slew of miners could flee to Ethereum Classic (ETC), thus amplifying the drama.  

A Constantinople-driven rally

2019 already seems promising for Ethereum after last year’s bloodbath. Vitalik Buterin’s creation has reclaimed its number two ranking on CoinMarketCap (CMC) after lagging behind XRP for months. As of now, the gap between ETH and XRP has surpassed $1 bln. That’s the result of Ethereum’s recent 9 percent spike.

A Constantinople-driven rally

The much-hyped hard fork will certainly push Ethereum’s bullish momentum a tad further as it is expected to be one of the main catalysts for the coin’s growth in Q1 2019.

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Ethereum News - Ethereum Price Predicted to Climb in the Long Run as Buterin Explains Need for Higher Coin Values

  • Jack Thomas
    🤷 Opinions

    Vitalik Buterin, the co founder of Ethereum, has come out and said that while the price of a coin is not that important, it is still a good thing for ETH to rise. He made mention of security, and the ecosystem development being better when the price of Ethereum is higher.

Ethereum Price Predicted to Climb in the Long Run as Buterin Explains Need for Higher Coin Values
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Ethereum is in a key phase of its development, having pioneered the smart contract blockchain. It is now in a position to take things further and grow its ecosystem as it looks to, for one, switch its algorithm from proof-of-work to proof-of-stake.

This development of the ecosystem will no doubt have an effect on the price of the Ether token, but more than that, Ethereum’s co-founder Vitalik Buterin has said that a higher Ethereum price is good for the development of the Ethereum ecosystem, as well as adds a higher level of security.

Essentially, it is a double-edged sword as the price of Ethereum is expected to rise when any cryptocurrency project is doing well, but the long term price prediction is then expected to rise, as Buterin adds it will help improve the project further.

Buterin’s beliefs

Buterin made his comments during an interview for Laura Shin’s crypto-focused “Unchained”.

In response to Shin’s question as to whether protocol designers and project leaders should be focusing on the question of a cryptocurrency’s price, Buterin spoke of how the Ethereum project had explicitly downplayed the importance of the asset’s value earlier on in Ethereum’s history.

“In part, it was counter-signaling to distinguish ourselves from other crypto projects that do pumping and lambo-ing way too much. But it was also about minimizing legal risk by basically trying to make the project seem more distant from something that would be covered by financial regulation.”

However, he has now gone on to explain that in today’s context, the price does in fact have a part to play.

“I can tell you what things are clearly important about why the price being higher rather than lower is good. One of them is obviously security. If the price is zero, then the network can’t be secure. That’s true in proof-of-work and proof-of-stake,” he added.

Long-term price prediction

With this being said, it makes sense that the price of Ethereum is thus being aimed at long-term growth. The project itself is working on improving its own worth and value as a blockchain project, and in that, the price of Ether should also naturally rise.

And, with a focus being on the importance of a higher price adding to the value of a blockchain project, this could even compound the growth of Ether's price in the long run.

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