Ethereum News: Price at Critical Level, SEC Drops Lawsuit Against Consensys

Ethereum is at a pivotal point, with its price action NEAR a crucial support level. Additionally, there has been a significant development in legal matters concerning a prominent Ethereum-related company. Here’s a closer look at these key developments.

Ethereum Price at Critical Level: 82% of Holders in Profit

Ethereum (ETH) is facing a crucial moment with its price hovering near a key support level of $2,345. A break below this significant threshold could change the financial outlook for millions of ETH holders, with many at risk of seeing their holdings turn unprofitable. According to on-chain data, over 2 million ETH addresses, collectively holding nearly 59 million ETH, are currently in profit.

SEC Drops MetaMask Lawsuit Against Consensys

The Securities and Exchange Commission (SEC) has agreed to drop its enforcement action against crypto software firm Consensys, according to a Bloomberg report. This withdrawal marks another significant retreat in the agency’s recent crypto crackdown, particularly involving the popular MetaMask wallet. Consensys founder Joseph Lubin announced that the SEC had agreed "in principle" to dismiss the securities enforcement case concerning MetaMask, the company’s widely used cryptocurrency wallet. The development underscores the growing narrative of an SEC facing mounting industry pressure and a shifting political landscape under the newly elected Trump administration.

Base L2 Rolls Out New Features on Testnet with Mainnet Deployment Plans

Base, the Layer 2 scaling solution for Ethereum, has introduced three new features to improve transaction speeds, increase scalability, and enhance usability. For speed, Base introduced flashblocks technology, reducing block time from 2 seconds to 200 milliseconds. This feature is available for testing on the Base Sepolia testnet and will be deployed on the mainnet in Q2. For scalability, Base launched app chains, layer-3 chains designed for high-traffic applications, providing dedicated blockspace and built with the op-enclave framework. Appchains can be customized and are supported by robust infrastructure, allowing developers to manage their applications more effectively.

Vitalik Buterin Highlights Crypto Loss Due to Negligence

Ethereum’s co-founder Vitalik Buterin has called for wallet solutions to address crypto loss not just limited to theft. While theft is often discussed in crypto security, Buterin pointed out that many people also lose significant amounts of crypto due to negligence and accidents, such as forgotten passwords, software bugs, or lost devices. In a recent post, he emphasized that actual crypto loss is overlooked in discussions of crypto security, despite the rife conversations about crypto fraud, including the recent $1.5 billion theft from Bybit, which was fully covered by the exchange.