Why Hodling Ethereum Is the Best Bet This April 2024?

Ethereum is going through a lot of changes in terms of scaling. Its latest upgrade has already reduced gas costs by one-sixth
Why Hodling Ethereum Is the Best Bet This April 2024?

Ethereum, VOC, Voice of Crypto

If you wonder why Ethereum should be the top choice of investors and traders when there are a lot of problems associated with this Blockchain, then, you might be missing on what Ethereum plans. Even with such a slow and congested blockchain, it leads the market, imagine what it could do with all the planned improvements.

Ethereum and its community was long aware of the challenges posed by its inferior users experience, be it high gas costs, slow transaction speed or bad impact on environment.

To deal with these issues, the Ethereum foundation and its community has put forth a plan called the Ethereum Roadmap. The roadmap consists of six major upgrades and several minor ones nested inside them.

  1. The Merge - Transition from Proof of Work to Proof of Stake

  2. The Surge - Transition from 15 TPS to 1000 TPS.

  3. The Scourge - For censorship resistance.

  4. The Verge - For easy block verification.

  5. The Purge - For reducing computational costs.

  6. The Splurge - Miscellaneous upgrades.

The latest Dencun Upgrade is of the second group if upgrades i.e., The Surge.

Why April Holds the Key to Bullishness?

Its because Ethereum is witnessing two events, one external and one internal, in April 2024 that has the potential to send it on a very steep price gain.

Upcoming Bitcoin Halving

The first event, i.e., is the Bitcoin Halving which, most analysts expect, could propel Bitcoin's price to almost 50% up from here to $90k. Now this is the most conservative estimate.

A steep climb in Bitcoin's price would definitely impact the markets as it dominated 51% of total crypto market cap. After such a rally, the best positive impact felt by a cryptocurrency would be Ethereum.

Ethereum also has a price correlation of 0.62 with Bitcoin which means for every 1% gain in Bitcoin's price, Ethereum has moved an average of 0.62% in the same direction.

Impact of the Dencun Upgrade

Ethereum has successfully implemented its Dencun Upgrade which added rollup like features and helped increase Ethereum TPS to around 1000.

A subsequent decrease in the gas prices was also seen. The lowest gas price as on the date of press was around 12 Gwei. A month ago, the same figure was around 150 Gwei.

<div class="paragraphs"><p>Ethereum Gas Tracker from March 29 to April 3, 2024</p></div>

Ethereum Gas Tracker from March 29 to April 3, 2024


Ethereum's On-Chain Activity

Ethereum has been witnessing a surge in the number of transactions on its network. The month of March 2024 witnessed around 39.15 million transactions which was the highest in the past one year.

<div class="paragraphs"><p>Ethereum Monthly Transactions</p></div>

Ethereum Monthly Transactions


There also has been a peak in the number of new addresses in the Ethereum network. For the month of March 2023, the new addresses were at 3.66 million.

<div class="paragraphs"><p>Monthly New Addresses in Ethereum</p></div>

Monthly New Addresses in Ethereum


New addresses act as testament to increasing adoption which could in turn drive the price of Ethereum.

What Should You Do?

The meme coins are showing wild swings every week. If you take a look at out past newsletters, you would see the same meme coin has been a top loser one week and a top gainer the next week.

Such volatility will not only impact your mental peace but also has the potential to erase any past gains.

Parking the funds in any stablecoin would be equally a big mistake as you would not gain much from the upcoming market events and market trends.

Hence, Ethereum makes a good choice. Now if you may still ask, why not Bitcoin, then a reasonable answer is because Ethereum has still not achieved its all time high of $4.7k that it achieved in November 2021.

Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information, but it will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.

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