With Bitcoin ETFs finally approved, and the call for spot ETH ETFs rising, Ethereum is now standing at the threshold of a potential surge, with pivotal developments setting the stage for a remarkable bull in January. The imminent activation of the Dencun upgrade, known as the protodanksharding upgrade or EIP-4844, on the Goerli testnet on January 17 is poised to be a game-changer.
EIP-4844: Unleashing Efficiency
The Dencun upgrade, specifically EIP-4844, aims to cut Layer 2 transaction fees on Ethereum by introducing “data blobs” – sizable data pieces linked to Ethereum blocks and rollups. This innovation enhances efficiency and lowers transaction costs within the Layer 2 scaling solution.
By implementing EIP-4844, Ethereum looks forward to freeing up Ethereum’s processing capacity, streamlining operations, and enabling rollups to handle transactions at a much lower cost.
The Expected Bullish Storm
Ethereum is on a positive trajectory, surging to $2,500 after the SEC approved the Spot Bitcoin ETF. Keeping steady above key levels like the 50-day and 200-day Exponential Moving Averages at $2,231 and $1,959, analysts now set their sights on a promising target: the 78.6% Fibonacci retracement level at $3,004.
As Ethereum gears up with the Dencun upgrade, the optimistic market sentiment following the approval of the Spot Bitcoin ETF has made investors eagerly wait for a potential 50% surge within reach in January.
