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Latest Ethereum news, price updates, and market trends

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Ethereum(ETH) Drops Below 3,400 USDT with a Narrowed 5.45% Increase in 24 Hours

On Dec 21, 2024, 13:18 PM(UTC). According to Binance Market Data, Ethereum has dropped below 3,400 USDT and is now trading at 3,393 USDT, with a narrowed narrowed 5.45% increase in 24 hours.
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Ethereum Price Faces Resistance Amid Market Trends

According to Cointelegraph, Ethereum's price is currently experiencing challenges in maintaining levels above $4,000, as noted by a crypto analyst. The digital currency has repeatedly surpassed this psychological barrier, peaking at $4,077 on December 6, but has struggled to sustain this price, based on CoinMarketCap data. The pseudonymous crypto trader, Rekt Capital, highlighted in a December 20 market report that Ethereum is likely to remain range-bound between two significant psychological levels. The $3,000 mark has emerged as a crucial support level, a price point last reached on November 9. Prior to this, Ethereum had been trading below $3,000 since August 3. Rekt Capital suggests that Ethereum might consolidate between $3,000 and $4,000 in the near term. However, there is a possibility of a short-term dip of over 10% from its current price of $3,466, potentially nearing the $3,000 region. Rekt Capital also mentioned the potential for Ethereum to form a bottom around this area, which could lead to the development of a right shoulder in an inverse head-and-shoulders pattern. This pattern is typically a reversal indicator, suggesting a possible change in trend direction. Analysts have pointed to factors such as the decreasing supply of Ethereum on exchanges and the rising inflows into spot Ether exchange-traded funds (ETFs) as potential drivers for strong price momentum. On December 17, Cointelegraph reported that data from CryptoQuant, an on-chain market intelligence firm, indicated that Ethereum balances on exchanges had reached an 8.5-year low of 9.2 million ETH, marking a nearly 10% decrease over the past year. Meanwhile, some analysts remain optimistic about the growing momentum of spot Ether ETF inflows, which could potentially outperform Bitcoin ETFs by 2025. Spot Ether ETFs have accumulated approximately $2.43 billion since their launch in the United States on July 23, according to Farside data. Analysts anticipate this upward trend to persist into 2025, particularly if regulators permit the funds to generate yields from staking. Asset manager VanEck has projected that Ethereum's spot price could reach $6,000 by the fourth quarter of 2025. When spot Ether ETFs were introduced in July, there was initial optimism that Ethereum might mirror Bitcoin's performance following the launch of spot Bitcoin ETFs in January. However, the comparatively weak initial inflows have tempered expectations of Ethereum surpassing its all-time high and reaching $5,000 by the end of the year.
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SEC Commissioner Hester Peirce Signals Optimism for Ethereum ETF Staking Under New Leadership

In a recent interview with Coinage, U.S. Securities and Exchange Commission (SEC) Commissioner Hester Peirce expressed optimism about potential regulatory changes under incoming SEC Chair Paul Atkins, President Trump’s nominee. Peirce highlighted the possibility of revisiting key crypto-related initiatives, including Ethereum ETF staking and in-kind redemptions for ETFs, which faced resistance under outgoing Chair Gary Gensler.Transitioning to a Pro-Crypto LeadershipPeirce described the SEC as being in a transitional period and expressed hope that Atkins' pro-crypto stance would create a more favorable regulatory environment. She stated, “If it changes from a majority of Commissioners who don’t want things to go through to a majority who do, then yeah, it’s easier.”She noted that Atkins, set to replace Gensler on January 20, is expected to prioritize crypto regulations from day one. “The acting Chair can start working on things that are a priority, and one of those issues is going to be crypto,” Peirce explained.Revisiting Ethereum ETF Staking and In-Kind RedemptionsPeirce emphasized her hopes for enabling Ethereum ETFs to participate in staking and reconsidering in-kind redemption mechanisms for ETFs. She acknowledged that these initiatives would require support from other commissioners who previously opposed such reforms but noted the new leadership may shift the dynamics in favor of approval.While uncertainty remains, Peirce suggested initial steps toward approval could begin soon, aligning with the broader optimism surrounding Atkins’ leadership. His pro-crypto reputation has sparked anticipation within the industry for a more supportive regulatory framework.A New Era for Crypto RegulationPresident Trump announced Atkins’ nomination on December 4, signaling a potential pivot in U.S. crypto policy. Known for his favorable stance on digital assets, Atkins’ appointment has generated excitement among crypto advocates who view this as an opportunity to foster innovation and adoption in the sector.With Peirce’s optimistic outlook and the arrival of a pro-crypto Chair, the SEC could take significant strides in advancing cryptocurrency regulation, including Ethereum ETFs and staking.
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Deutsche Bank Embraces Ethereum Layer 2 As Part Of Global Blockchain Initiative

According to PANews, Deutsche Bank's recent adoption of Ethereum Layer 2 technology is not just a move towards embracing Ethereum but is also a significant part of Singapore's 'Project Guardian' initiative. This project unites policymakers and major industry players to shape the future of tokenization and digital asset markets. This indicates that Deutsche Bank's involvement with Ethereum L2 is not an isolated effort but part of a global push to integrate secure and compliant blockchain solutions into the core of traditional finance. Project Guardian consists of two main working groups. The first group comprises policymakers, including the Monetary Authority of Singapore, the Bank of France, and the International Monetary Fund (IMF). This group is responsible for setting standards and legal frameworks to ensure that digital asset systems are transparent, trustworthy, and compliant on a global scale. The second group includes industry participants such as Deutsche Bank, HSBC, S&P Global, Moody's, OCBC Bank, Fidelity, DBS Bank, JPMorgan Chase, Citibank, UBS, Standard Chartered, Franklin Templeton, T. Rowe Price, and BNY Mellon, among others. This group provides funding, infrastructure, and technical support to translate these policy frameworks into practical market solutions. These two groups are collaboratively developing a blueprint for future compliant large-scale blockchain applications. Notably, the regulatory compliance requirements of these institutions cannot be met by any single Layer 1 blockchain. For institutions requiring strict regulation and interoperability, the choice is either to build private permissioned Layer 1 chains or to utilize Ethereum's Layer 2 ecosystem. Ethereum's Layer 2 framework offers numerous advantages, as detailed in a recent article titled 'Ethereum Settlement Peak.' These include Ethereum's reliable trust, robust development tools, the ability to flexibly adjust performance and data availability to meet enterprise needs, and access to the world's largest and most liquid crypto economy, currently supporting over $120 billion in stablecoin circulation, which accounts for more than 60% of the global crypto market's stablecoin supply. With Deutsche Bank joining this global collaboration, it is expected that more members of Project Guardian will follow suit. It is anticipated that these institutions will launch Ethereum-based Layer 2 solutions and stablecoins, further solidifying Ethereum's position as the compliant settlement layer for the world's largest financial and technology enterprises. In essence, while it may appear as a single company's integration with Ethereum, it signals a global ecosystem of policymakers and industry leaders focusing on Ethereum Layer 2 infrastructure as the optimal path forward.
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Ethereum Developers Discuss Key Updates In Latest Meeting

According to Foresight News, Christine Kim, Vice President of Research at Galaxy, provided a summary of the 202nd Ethereum Core Developers Execution (ACDE) call. During this week's meeting, developers focused on the Pectra specification updates affecting several Ethereum Improvement Proposals (EIPs), including EIP 7742, EIP 7702, EIP 2537, and EIP 2935. These discussions are crucial as they aim to refine and enhance the Ethereum network's functionality and security. The developers also deliberated on plans to remove pre-merge historical data from both client and non-Pectra EIPs. This initiative requires feedback from developers to ensure a smooth transition and maintain the integrity of the network. The removal of this data is part of a broader effort to streamline the Ethereum blockchain, making it more efficient and easier to manage. In addition to these discussions, the team is making significant progress in implementing Pectra Devnet 5. This development network is a critical step in testing and validating the proposed changes before they are deployed on the main Ethereum network. The successful implementation of Pectra Devnet 5 will provide valuable insights and help identify any potential issues that need to be addressed before the updates are finalized. Overall, the meeting highlighted the ongoing efforts of Ethereum developers to improve the network's performance and security. By addressing these key updates and seeking developer feedback, the team aims to ensure that the Ethereum blockchain continues to evolve and meet the needs of its users.
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Ethereum News: 10% of Ethereum Validators Signal Gas Limit Increase

Ethereum validators signaling a gas limit increase hit 10%, sparking community discussions on lowering transaction fees and enhancing network scalability.The percentage of Ethereum validators signaling support for raising the network’s gas limit has reached 10%, marking a significant increase from just over 1% before December. The push, aimed at increasing the maximum gas allowed per block, could have profound implications for transaction fees and network scalability.Why Are Ethereum Validators Backing a Gas Limit Increase?On Dec. 19, Ethereum validators supporting a gas limit above 30 million rose to 10% of the network. This shift comes as community efforts intensify to raise the gas limit to 36 million, with proponents arguing that it could lower transaction fees on Ethereum layer-1 by 15% to 33%.Core Ethereum developer Eric Connor and former MakerDAO executive Mariano Conti launched the “Pump The Gas” initiative, rallying the community to support an eventual increase to 40 million. Connor emphasized:“Lowering transaction fees benefits the entire ecosystem by improving accessibility and enhancing the user experience.”Benefits for Developers and UsersThe potential gas limit increase has been endorsed by Ethereum researcher Justin Drake, who reconfigured his validator for a 36 million gas limit. Drake described the move as a “20% bump to safely grease the wheels” of the network. Similarly, Emmanuel Awosika, creative director at 2077 Collective, highlighted how higher gas limits could enable developers to deploy high-demand applications without facing prohibitive costs.Awosika explained that the current limits deter ambitious projects, as gas price spikes lead to a degraded user experience:“Raising gas limits shows that Ethereum supports ambitious devs with the tools they need to succeed.”Risks and Caution Around Raising Gas LimitsWhile the push to increase gas limits gains traction, some community members urge caution. Ethereum Foundation’s Toni Wahrstätter warned that raising gas limits too quickly could jeopardize the network’s stability and decentralization. The “Pump The Gas” initiative also acknowledges these risks, emphasizing the need for gradual increases to mitigate potential externalities like increased storage and bandwidth demands.The initiative’s website stated:“If the gas limit is raised too high, we risk making the chain too large for solo node operators to validate and download. Technology improvements make gradual increases sensible over time.”Moving Forward: Balancing Growth and StabilityAs Ethereum validators continue signaling for gas limit increases, the network faces the challenge of balancing scalability with decentralization and security. With 10% of validators now on board, the community must weigh the benefits of lower transaction fees against the risks of overextending the network’s capabilities, according to Cointelegraph.
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