A researcher at the Ethereum Foundation revealed that the organization is investing tens of millions of dollars in zkVM. ETH price is expected to rise.
On Friday, the Ethereum Foundation once again made a splash in the market by announcing that it would invest tens of millions of dollars in zkVM (zero-knowledge virtual machine). The investment strategy was revealed by Justin Drake, a well-known researcher at the organization. It is worth noting that, according to the researcher’s statement, the investment plan outlines three important entities that are still ready to take advantage of this opportunity.
Ethereum Foundation invests millions into zkVM
According to Justin Drake’s Nov. 29 article on X, “EF is investing tens of millions of dollars into zkVM.” Additionally, the announcement revealed three key entities poised to take advantage of the massive investment.
Drake said that the zkRISC-V formal verification platform zkevm.org is still expected to receive investment support from the Ethereum Foundation. Meanwhile, other zkVM Poseidon cryptographic analysis and ethproofs.org are also ready to take advantage of the investment.
The Ethereum Foundation’s investment provides support for various components of the zkVM, from formal verification to cryptographic analysis. Overall, the investment talks attracted a lot of attention because they further highlighted the ongoing efforts to simplify the Ethereum ecosystem.
Where will the ETH price go next?
On the other hand, Ethereum co-founder Jeffrey Wilcke’s transactions have caused concerns throughout the market. Notably, the co-founder deposited 20,000 ETH into Kraken on November 28, which has raised serious concerns about the future price trend of cryptocurrencies.
Interestingly, Wilke was recorded to have sold 44,300 tokens in 2024 at an average price of $3,342, solidifying the market’s concerns about one of the leading cryptocurrencies by market cap.
Amid the Ethereum Foundation investment and other developments, ETH price fell more than 1% intraday and is currently trading at $3,552. Its 24-hour low and high are $3,531.87 and $3,642.19, respectively. Notably, the recent movement is consistent with whale selling. Notably, the cryptocurrency’s weekly chart shows a 5% gain, followed by a 33% monthly gain.
Interestingly, a recent CoinGape Media analysis of ETH prices further suggests that in a bull cycle, the cryptocurrency is targeting $4,000. This bullish prediction is also supported by strong market potential and ecosystem upgrades.
