Ethereum News: Potential 91% Price Drop Looms as Network Activity Slows and Inflation Concerns Rise

Ethereum, long considered the second-largest cryptocurrency by market capitalization, is currently navigating uncharted waters. Recent developments suggest that the digital asset may be headed for turbulent times, raising concerns among investors and traders alike.

Ethereum Crash Alert: Will Low Fees and High Inflation Trigger a 91% Price Drop?

Ethereum, the second-largest cryptocurrency by market capitalization, is facing challenges. CryptoQuant trader EgyHash reports slowing network activity, pushing Ethereum into a difficult position. The number of active addresses has been steadily dropping since the start of the year, leading to lower transaction fees. This decline in engagement has raised concerns about Ethereum’s price, with some predicting a potential 91% crash. Bitcoin’s performance remains relatively stronger in comparison.

Ethereum Sets May 7 for Pectra Upgrade

Ethereum developers have set May 7 as the target date for the long-awaited Pectra upgrade. This upgrade aims to make Ethereum more user-friendly and efficient, including adding smart contract capabilities to wallets. The decision was made after a successful test on the Hoodi testnet, which was the third and final dry-run of the upgrade. Pectra consists of 11 major code changes or Ethereum improvement proposals (EIPs).

BlackRock Taps BNY Mellon to Publish Fund Data on Ethereum

The Bank of New York Mellon Corporation has announced the expansion of its digital assets platform with the launch of a new tool called Digital Asset Data Insights. This data tool aims to bring security and efficiency to the offering and access to fund accounting data across blockchains. The new tool will allow BNY Mellon, the world’s largest custodian, to broadcast a fund’s net asset value on the Ethereum (ETH) network. Global asset manager BlackRock will be the first client to use this on-chain offering, which helps bolster BNY Mellon’s footprint in the blockchain technology space.

Ethereum Confirms Pectra Upgrade for May 7

Ethereum CORE developers have confirmed that the highly anticipated Pectra upgrade will be deployed on May 7. Nixo Rokish, a member of the Ethereum Foundation’s protocol support team, shared the news on April 3, stating that the Pectra mainnet date is confirmed for May 7. Terence, an Ethereum core contributor, further clarified that Pectra would go live at 10:05:11 UTC on that day. The date replaces the tentative April 30 plan, which was discarded due to the 30-day notice period required by Ethereum builders. Rokish explained that April 30 was not confirmed and he advocated for May 7 to give builders more time to prepare.