Ethereum News Today: ETH’s Fusaka Upgrade Boosts Network Activity and Data Capacity

Ethereum activated its Fusaka upgrade on Wednesday at block 18,200,000 as developers rolled out the network’s second major update this year, bringing new data capacity, higher throughput, and faster transaction processing while ETH’s trading volume and price moved upward through the evening.

Fusaka Deployment Sparks Higher Market Activity

Ethereum’s team completed readiness checks earlier in the week after test runs on Holesky, Sepolia, and Hoodi through October. Developers moved the upgrade to mainnet during late afternoon.

Trading activity increased soon after activation. Ethereum price traded between $3,150 and $3,210 during the first hours. The price then climbed toward $3,200, rising 4.3% for the day.

Volume also increased. Trading volume rose from $28.2 billion to $32 billion within six hours. Analysts linked the move to stronger accumulation from shark wallets holding 1,000 to 10,000 ETH.

Blockscout reported increased activity across the layer-2 ecosystem during the preparation phase. The explorer said several rollups raised the frequency of state-root submissions and adjusted block intervals. That shift created more regular patterns in data posting across networks.

Blockscout said the trend showed networks preparing for higher capacity and more predictable throughput. It noted more consistent batch updates and tighter sequencing windows.

Upgrade Introduces Faster Processing and New Throughput Options

Ethereum’s Foundation stated that the Fusaka upgrade moves the network closer to near-instant transactions. Preconfirmations reduce latency from minutes to milliseconds. That change aims to improve user experience across wallets and applications.

The upgrade also unlocks PeerDAS. This system boosts data throughput by up to eight times for layer-2 networks. Rollups provide a more efficient way to handle data by breaking information into smaller fragments.

Nodes download fewer data chunks, allowing quicker processing and smoother communication with Ethereum’s mainnet. Developers expect lower blob fees and more growth room for rollups due to the reduced data load.

The Foundation said users could see lower fees as rollups process information more efficiently. Networks also retain decentralization because each node manages lighter data tasks.

Sygnum Bank wrote that improved execution and larger data handling may raise long-term fee burn and validator rewards. It noted that these effects appear gradually as activity expands across the base layer.

Shiv Shankar, CEO of Boundless, said Fusaka introduces several long-requested features to the Ethereum Network. He added that the upgrade expands capacity while keeping ETH’s core structure intact.

Also Read: Ethereum Sets 16.78M Gas Cap Ahead of Fusaka Upgrade

Analysts Compare Market Conditions With Earlier Pectra Rally

Analysts pointed to earlier market behavior to understand the current move. MerlijnTrader noted that Ethereum rallied after the previous upgrade, Pectra, which drove a 58% surge.

He stated that Fusaka could produce a stronger impact. Analysts said the price has not yet moved in line with network fundamentals.

An analyst known as @LLuciano_BTC described Fusaka as a catalyst for further upside when addressing his 2 million followers. He said Ethereum now shows the scale potential of its design.

ETH increased more than 13% since December 1 due to wider market recovery and rising anticipation ahead of its first major upgrade of the month. ETH remains up more than 17% for the month.

Market conditions today mirror the period before Pectra in May 2023. Ethereum surged 56% during that phase. Traders pointed to a bullish divergence pattern where the price set a lower low as RSI created a higher low. That pattern often appears when sellers lose momentum and a reversal begins.

As Ethereum enters its golden age through Fusaka’s rollout, one question continues to circulate across trading desks: Will stronger fundamentals and new capacity drive a deeper shift in ETH’s valuation?

Conclusion

Ethereum’s Fusaka upgrade expands data capacity, improves transaction speed, and strengthens layer-2 throughput as market activity rises. ETH gains momentum with increased volume and renewed trader interest. Readers may monitor network performance and price behavior as Fusaka’s impact continues to develop.