What’s Next for the Bitcoin and Crypto Market Now When the Ethereum Merge Is Over?

The Ethereum merge has come and gone, leaving investors wondering what the next trending development in the market could look like. in a Cointelegraph Twitter Space with Capriole Founder Charles Edwards, the analyst noted that the excitement over the Ethereum merge and its bullish price action had somewhat raised expectations across the market. Now that the phenomenon has come and gone, the crypto market is selling out with bitcoin (B T c) Trade and Ether value below $20,000 (ETH) under $1,500.

Eventually, new narratives and market trends will emerge, and if the fundamentals are correct, traders will turn funds around as these new leaders emerge.

Let’s take a look at some potential trends.

Where Will Former ETH Miners Go?

The Ethereum network successfully migrated to a proof-of-stake (PoS) model, meaning miners are out of pocket but still likely in possession of their GPUs and ASICs mining infrastructure. It is possible that some miners may choose to mine on a different chain rather than sell their gear.

While they haven’t settled on any specific chain yet, Ravencoin, Flux, Ethereum Classic, and Ergo are leading the way. Leading up to the merge, each network saw its hash rate hit new all-time highs, as shown below.

ETC hash rate. Source: 2 miners
ERG hash rate. Source: 2 miners
rvn hash rate. Source: 2 miners
Flux hash rate. Source: 2 miners

The price of each altcoin has also increased over the past month, with Ravencoin up 169% RVN, Ergo up 132% ERG, Flux up 156% and Ethereum Classic up. e.t.c Gained 135% in the last 90 days.

Interestingly, on September 15th, the hash rate and the price declined sharply, and at the time of writing, only Flux and RVN are rebounding. In the coming weeks and months, it will be interesting to see which network miners possibly choose as their new home and its impact on the price of the cryptocurrency.

the universe continues to expand

cosmos ecosystem expansion continuesthat seems to attract buyers atom, Since the June 18 low of $5.50, ATOM price is up 137.5% and is currently trading above $16. The analysis shows that investors see liquid staking launching soon, ATOM being used as collateral for stablecoin mining, the launch of Cosmos Hub 2.0 and the eventual recovery of decentralized finance in general. in the form of Bullish Long Term Factors for ATOM Price,

Buy rumor and sell news, or buy dip?

While ETH’s current price action is less bullish than merge supporters and ETH bulls might expect, the real turnaround in POS has been successful, and perhaps over time, POS’s gains will shift from ETH to bullish price action. According to Ben Lilly, co-founder of Jarvis Labs, “which cool move” for ETH investors is not “catching up” in the coming days. The main player who is likely to do any sort of crazy activity is the miner. And this is a one-time event that has to be short-lived.”

lily Explained He:

“Joe cool trick is to sit there and buy into any sort of excessive emotional movement. Then sit back and relax.”

In the future, Ether may experience a supply shock and possibly deflation. The deposit further secures the staking network by providing guaranteed returns on assets. In a market caught in a downtrend, it may be more attractive to get a safe, predictable yield.

Essentially, Lilly is suggesting that the excitement surrounding the merge will take time to settle down and that it will take time for investors to start capitalizing on the benefits that the PoS Ethereum network can provide.

What about bitcoin?

in this week bitcoin analysis I discussed how much hasn’t really changed with the price of bitcoin. Its price has remained in the $17,600-$24,400 range for the past three months, and all rallies from each range-high since March 29 have been limited by a 200-day moving average and an overhead resistance trendline. Extends from bitcoin. November 2021 all-time high of $69,400.

BTC/USDT 1-Day Chart. Source: TradingView

While continuing consolidation within the current range may (and generally is) good for altcoins, macro tensions could continue to weigh on the crypto and equity markets. The heated consumer price index print from September 12 could lead to more aggressive rate hikes from the United States Federal Reserve, and a potential knock-on effect on stock prices could have an even sharper spillover effect on crypto prices.

For this reason, investors remain largely risk-averse to most cryptocurrencies, and it is possible that repeated rejections at the long-term descending trendline and further retests of the $19,000 support will eventually lead to an annual swing low below. breakdown may occur.

This newsletter was written by Big Smokey, author of Humble Pontifical Substack and resident newsletter writer at Cointelegraph. Every Friday, Big Smokey will write market insights, trending how-tos, analysis and early-bird research on potential emerging trends within the crypto market.

Disclaimer. Cointelegraph does not endorse any of the product content on this page. While we aim to provide you with all the important information we can obtain, readers should do their own research and take full responsibility for their decisions before taking any action relating to the company, nor should this article be considered investment advice. can be considered as.