Ethereum’s ’Fusaka’ Upgrade Aims to Slash Layer-2 and Validator Costs

Following the successful deployment of the Pectra upgrade, Ethereum’s core developers are now focusing on the next major upgrade, Fusaka. This upgrade is expected to introduce PeerDAS, an ethereum Improvement Proposal (EIP) designed to reduce costs for Layer-2 solutions and validators, further enhancing Ethereum’s scalability and efficiency.

Ethereum’s Next Upgrade ‘Fusaka’ Aims to Reduce Layer-2 and Validator Costs

Ethereum’s Core developers are already shifting focus to the next major upgrade, Fusaka, following the successful deployment of Pectra last week. Pectra, the most significant code change since the Merge in 2022, introduced enhancements for institutional staking, wallet accessibility, and transaction efficiency.

Fusaka is expected to include PeerDAS, an Ethereum Improvement Proposal (EIP) designed to support larger "blobs" of transaction data. These blobs, introduced during the Dencun upgrade, store large data chunks off-chain, alleviating network congestion and reducing costs for Layer-2 solutions and validators.

Ethereum Surpasses Coca-Cola and Alibaba in Market Cap Following Pectra Upgrade

Ethereum’s market capitalization soared 42% to $308 billion after its recent Pectra upgrade, eclipsing legacy giants Coca-Cola ($303.5B) and Alibaba ($303.7B). The upgrade introduced gasless wallets, increased staking limits, and enhanced layer-2 scalability—key drivers behind ETH’s ascent to become the 39th most valuable asset globally.

Whale activity underscores institutional confidence, with one address turning a $21 million deficit into a $21.7 million profit through strategic accumulation. The rally to $2,550 reflects growing recognition of Ethereum’s utility beyond speculative trading.

Ethereum Price Rally Builds Momentum with Bullish Breakout Signals

Ethereum’s native token ETH surged 42% in just three days, catapulting from $1,812 to $2,584 and forming a bullish ’triple WHITE soldier’ candlestick pattern. The rally has pushed prices above $2,500, bringing 6.61 million ETH holders near break-even territory—unlocking $67 million in dormant profit potential.

Market structure suggests explosive volatility ahead. A mere 3% price swing could liquidate $786 million in short positions or $715 million in Leveraged longs. Technical analysts highlight the emergence of a rounding bottom pattern, with $3,000 now looming as the next psychological resistance level.

Ethereum Price Rally Tests Staying Power as Analysts Eye Fundamentals Over Hype

Ethereum surged nearly 40% last week, climbing from $1,800 to $2,500, as risk appetite returned to digital assets. The rally was fueled by easing global trade tensions and a successful network upgrade, drawing renewed interest in the cryptocurrency.

Analysts note that crypto-native investors, rather than ETFs, drove the momentum. Ethereum spot funds saw $55 million in outflows during the rally, underscoring the divergence between institutional and retail participation.

Volatility models suggest a 20% probability of ETH reaching $4,000 by year-end, though macroeconomic risks remain a cautionary factor. The market’s focus has shifted to Ethereum’s fundamentals, with further gains contingent on sustained network activity and adoption.