Ethereum London hard fork just made a network upgrade that improved the Ethereum transactions.
What is the Ethereum ‘London hard fork’?
Ethereum London Hard fork is the network upgrade project which is technically called Ethereum Improvement Protocol 1559, or EIP-1559
Currently, network users must bid against each other to allow miners to process their transactions. This means that when the network is busy, the cost will eventually be much higher than when it is quiet.
This change will allow users to pay the basic transaction fee, which will be determined by the algorithm by the busyness of the network, and users will be able to see this fee in advance.
They can also prompt miners to process transactions faster. Miners will only receive tips, not basic fees-it will be destroyed or “burned”, which is what makes investors so excited.
Burning coins will limit the supply, which means that the existing supply may become more valuable.
How this will affect Ethereum?
With the Ethereum London hard fork project, the miner will be able to process Ethereum a lot faster than as it is today.
Also, Ethereum is the second-largest cryptocurrency out there.
Now if we take a look at this article by Arthur Hayes(white paper). It’s a really good article so I do recommend you read it he says let’s assume that a theorem can capture some percentage of the five-year average earnings of banks and the big four audit firms well.
If that were to happen if it captured a hundred percent we would be looking at a four million dollar Ethereum now that’s kind of unreasonable to capture 100. But let’s say 10 well that would be 405 000 Ethereum. That’s still completely out of this world well let’s say one percent a forty thousand dollar Ethereum.
Further confirming this and if it only gets point five percent not even one percent half of one percent that’ll be a twenty thousand dollar Ethereum.
But I have something else that I wanted to show you because if we take a look at the Ethereum versus Bitcoin chart and this is this chart makes it clear as day. So you can see Ethereum versus bitcoin was in a downtrend from the top in June of 2017.
Then we have the peak here in February 2018 and then it was in a downtrend up until right around February of 2020. When it started going upwards in an uptrend now right now. In this uptrend, we found the top a little bit there in May. But it came back down and bounced off of the 20 weekly moving average.
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