Ethereum upgrade from proof-of-work to proof-of-stake has been most talked about for the Ethereum community. The first upgrade to Ethereum’s proof-of-stake chain (ETH 2.0) was successfully deployed, but this did not prevent the price drop.
Ethereum 2.0 Altair Upgrade Was Successfully
This new development was announced on Twitter on October 27, Ethereum core developer Raul Jordan announced that the upgrade from Altair to Beacon Chain had been successfully implemented.
Ethereum stockholders don’t need to do anything as improvements are being made in the background, but validators need to be careful. Altair’s upgrade is one step closer to the full launch of ETH 2.0, Phase 0, and the much-anticipated “merger”.
The upgrade came about almost a year after Beacon Chain was activated and started to promise. Ethereum client developer Preston Van Loon commented that in the first Altair era, the finals were uninterrupted and the participation rate was only 93.3% (the exact number has yet to be confirmed). The participation rate is now over 95%.
Altair: A “Warm-up upgrade” for the Chain and Client
According to the Ethereum Foundation (EF) released earlier this year, Altair is an upgrade that offers light client support, small patches for incentives, and inactivity leak accounting for each validator. It also increases the severity and cleanup of the verifier rewards for easier condition management.
Most of its features are updated behind the scenes and can now be used after 11 months of successful Beacon Chain. EF describes it as a “warm-up upgrade” for the chain and customers.
“Ethereum’s proof-of-stake system has been running smoothly since its inception, but before undertaking a high-risk merger, the client team is hoping to further test and prepare their code base and real-time system through a real-time upgrade process. “
According to Altair, there will be no major changes in the blockchain until the “merger”, which is expected in the first or second quarter of 2022. At this point, the existing Ethereum 1.0 blockchain will be docked to the ETH 2.0 chain.
At the time of writing, there are more than 8 million ETH commitments on the Beacon Chain. At current prices, this is worth about $32 billion.
ETH Price Dropped Below $4000
The bullish development news did not prevent the price of ETH from falling below the $4,000 psychological level. According to TradingView, the ETH price fell to $3,900 during the Asian trading session on Thursday morning.
At the time of writing, they had rebounded slightly to $4,134, but the trading price fell 4.6% that day. Ethereum is trading in the shadow of Bitcoin as usual, and Bitcoin is also correcting from its recent all-time highs.