Bitcoin has had a relative weakness since the start of the week. Ethereum dwindles at $1,700 per token, with the day’s high hitting $1,800 briefly.
Altcoin started to release some steam after nearing $2,000 last week. The crypto gold had an all-time high milestone in the previous week.
On the other hand, traders are looking at its long-awaited switch towards proof-of-stake more than the movements in the fundamentals.
Since last year, the world’s second-leading cryptocurrency has been working on transitioning its current proof-of-work system to the foregoing.
The incumbent system is famous for being more energy-consuming, thereby weighing on the profitability of miners due to high input costs.
Consequently, the number of transactions per second completed under the P-o-W system is relatively slower but requires high fees.
Under the ETH 2.0 network called the beacon chain phase, which on paper will solve the barriers imposed by expensive mining rigs required to acquire ETH.
According to the company, the ETH2 is currently going through rigorous testing. They are, however, not yet professing the actual products and services.
The beacon chain is hoped to streamline the complexity the comes with the original design.
Updates on EIP 1559
While the fossil fuel saving initiative is received warmly by traders, ETH miners are feeling otherwise.
According to insiders, miners are currently having agitations on the switch. They are having problems with apprehensions on whether they will get less of what they currently receive.
With this, the crypto silver launched the EIP 1559, which stands for Ethereum Improvement Proposal 1559, to guide the diggers with the smooth transition.
In a statement recently released by Tim Beiko via Twitter, the protocol support administrator proposed to increase block miners’ rewards from 2 ETH to 3 ETH.
On the other hand, this will depreciate as years go by to reach 1 ETH per block at one point.