The much-anticipated Ethereum Merge upgrade is finally here, and now investors seek bullish price surges

The massive transformation of the Ethereum network has finally happened, the Merge upgrade is finally here and is rapidly pushing the second-largest cryptocurrency to new heights. The Ethereum Merge is one of the most anticipated events in the history of the crypto market and investors have been quite excited about the incoming of this huge transformation. For months, the upgrade has been delayed due to various reasons, resulting in investors losing their interest in the upgrade. But eventually, after Tim Beiko released the probable launch date of the merge upgrade, the crypto market rallied and demonstrated that investors are gaining interest in riskier assets. But now that the Merge has already happened, ETH traders and other crypto enthusiasts are quite eager to understand the benefits that the new PoS consensus algorithm has to provide. Experts believe that the successful deployment of the Merge upgrade will eventually shoot up the Ethereum price to the moon, and all other cryptocurrencies like Bitcoin will follow suit.

The Merge Upgrade is an Inspiration for all Crypto Developers

Ethereum's Merge will boost crypto prices in the long run and will significantly change the future of the digital asset market. Even though the upgrade is based on the ETH network, it will power innovations throughout the crypto ecosystem. Cryptocurrency trading and investing are also speculated to rise in recent years, as the overall market value of digital assets skyrockets. The primary attraction of the Merge is, that it will change Ethereum to proof-of-stake. Earlier, the crypto used the same consensus mechanism as Bitcoin's which was extremely energy-intensive and used huge amounts of electricity to process new transactions on the network. But the proof-of-stake mechanism operates in a different way which is far more sustainable.

The proof-of-stake algorithm uses validators. A validator can basically be anybody who possesses at least 32 ETH tokens to stake in the network. Users can also participate with smaller amounts of tokens through staking pools or cryptocurrency exchanges. Using this way, the developers claim that the network will become 99% more efficient and sustainable. However, the upgrade does not solve other ETH network issues that might increase the cryptocurrency's capacity to process transactions but hold on, those upgrades are all lined up to be implemented, now that the Merge has been released.

What does the shift to the PoS network really mean for investors?

Experts claim that for ordinary investors, the Merge should mean nothing. Ideally, investors have been excited about the upgrade because it is only supposed to help crypto prices surge and change the price dynamics of the market. Quicker transactions and lower fees might eventually benefit investors in the long term, but it would also add more value to Ethereum's native token, ETH, which investors can use to make transactions across multiple platforms. The integration of the PoS is helping the crypto add more investors to its network, besides when the supply of tokens decreases, the value of individual coins will increase, which might then generate some value for traders. The Merge is also expected to make the network more secure, protecting investors from random attacks and thefts.

However, the emergence of the Merge does not mean that Ethereum is no more volatile. Right after the launch of the Merge upgrade, the ETH price dropped. Currently, at the time of writing this article, Ethereum is hovering around the US$1,400 mark. The Merge will definitely have a positive effect on the price of Ethereum, but those effects might not be longstanding, and the price upside will definitely not be sustainable. Hence, investors still have to be extremely careful before investing in Ethereum and other cryptos.