Ethereum Constantinople hard fork is just about here and ETH has risen 9% as the market sees green. However, this system upgrade that is focused on speed, low cost, and efficiency, according to Weiss Ratings is a classic case of “buy the rumor, sell the news.”
Ethereum Jumps 9% Amidst Green Market
Ethereum’s hard fork, Constantinople is just a day away and the 3rd largest cryptocurrency is finally seeing a surge in price. As the market turns green and registers gains between 2 to 5 percent, Ethereum is up by 9 percent in the past 24-hours.
However, according to Weiss Ratings, this won’t help Ethereum in gaining back its momentum as this is just a case of “buy the rumor and sell the news.
“ETH’s Constantinople hard fork and network upgrade is due this Wednesday. Sadly, this won’t help ETH reclaim its lost glory. This is the classic case of “buy the rumor, sell the news”.”
Some do agree with this as one Twitter user commented, “100% true. Ethereum strategy: launch first without stability, promise the future. Repeat.” While another one stated, “Right, doesn’t sound too impressive…”
However, many are optimistic as one enthusiast says “I think it’s awesome that Ethereum itself continues to evolve.”
Realizing the Full Potential
Constantinople, the name of the Ethereum’s hard fork upgrade coming on January 16th is a multi-step journey that will implement protocols such as Proof of Stake. The system upgrade will be implemented at block 7,080,000.
This hard fork won’t be seeing any currency split as happened at the time of Ethereum Classic as Ethereum Community at large supports Constantinople. A brief review of the 5 Ethereum Improvement Proposals (EIPs) include,
EIP 145: Bitwise Shifting Instructions for Efficiency & Speed – This upgrade means the execution of shifts in smart contracts will be 10x cheaper.
EIP 1052: Smart Contract Verification for Speed & Energy – This improvement will allow for the smart contract to verify one another by pulling just the hash of the other smart contract.
EIP 1014: CREATE2 for Scalability was developed by Vitalik Buterin. This improvement is for the enablement of state channels.
EIP 1283: SSTORE – This proposal is to reduce the gas cost by enabling multiple updates to occur within one transaction more cheaply.
EIP 1234: Block Rewards & Difficulty Bomb Delay is the most discussed and anticipated upgrade. The block reward reduction will reduce the reward from 3 ETH to 2ETH after the fork which will further reduce the inflation. The difficulty bomb delay if activated would increase the energy required to mine a block until no new blocks can be mined.
With these improvements focused on lower cost, speed, and efficiency, it can help Ethereum to realize its full potential.
Having a background in writing, I worked on a wide array of industry topics and have recently entered the world of Blockchain and Cryptocurrency.