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Ethereum Ropsten Now Ready to Transition to Proof of Stake

Mon, 06/06/2022 - 13:20
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Tomiwabold Olajide
Ethereum's testnet Ropsten seems ready for Merge experiment
Ethereum Ropsten Now Ready to Transition to Proof of Stake
Cover image via stock.adobe.com

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According to recent Github data, Ethereum's testnet Ropsten seems ready for the Merge experiment. As earlier shared by Ethereum core developer Tim Beiko, the Ethereum network's longest-lived PoW testnet is moving to proof of stake with the Merge expected around June 8 on the network.

Ethereum's longest-running PoW testnet is transitioning to proof of stake, as Ethereum core developer Tim Beiko previously announced, with the Merge scheduled for June 8 on the network.

The launch of the Beacon Chain on the Ropsten test network marked a huge milestone for Ethereum as it continues to set the basis for its much-anticipated switch to proof of stake (PoS; testnet).

The Beacon Chain is a proof-of-stake network that runs alongside Ethereum's mainnet, which is proof of work. It acts as a test bed for Ethereum's impending shift in the consensus mechanism, which will see the two chains "merge" to form a single PoS network.

Ethereum price action

Since the start of 2022, Ethereum (ETH) has lost about 50% of its value, while also losing ground versus Bitcoin (BTC). Since mid-May, Ethereum has been trading below the $2,000 price zone as investor sentiment erodes.

According to the latest Coinshares weekly report, Ethereum saw withdrawals of $11.6 million last week, bringing year-to-date net outflows to $250 million.

Ethereum appears to be building a descending triangle on its lower time frames, according to cryptoanalyst Ali Martinez. As a result, ETH may need to break over $1,950 to reach $2,400, while failure to hold above $1,700 might send ETH back to $1,300.

Descending triangles, as a rule of technical analysis, resolve when the price breaks strongly below its support trendline and subsequently descends to the triangle's maximum height.

On-chain data, on the other hand, indicates a significant supply barrier between $1,906 and $1,963, with about 900,000 addresses acquiring over 8 million ETH. To get above $2,200, Ethereum may have to break through this barrier zone.

At the time of writing, Ethereum was trading at $1,909, up 7%.

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About the author

Tomiwabold is a cryptocurrency analyst and an experienced technical analyst. He pays close attention to cryptocurrency research, conducting comprehensive price analysis and exchanging predictions of estimated market trends. Tomiwabold earned his degree at the University of Lagos.