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.
New alpha release: https://t.co/8XFFrXdjYc— erigon.eth (@ErigonEth) June 5, 2022
Ropsten is ready for The Merge experiment. Bor mainnet now has block snapshots. pic.twitter.com/t71tdfI7aU
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 | On-chain data shows a stiff supply barrier between $1,906 and $1,963 where roughly 900,000 addresses acquired over 8 million $ETH.#ETH needs to overcome this resistance zone to be able to advance towards $2,200. pic.twitter.com/A1jxtMFaFk— Ali Martinez (@ali_charts) June 6, 2022
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%.