Today it has been 200 days since the Ethereum blockchain met Merge, which transitioned to proof-of-stake on September 15, 2022. Merge was touted as one of the greatest feats of engineering in cryptography, but how has ether (ETH) affected price actions since then?
The current value of Ethereum represents a 9.9% appreciation from its price of $1,650 at the time of the Merger. Despite this bullish metric, the value of the asset struggled in the days immediately following the Merger, leading some to believe that the event might not be as favorable as predicted.
Ethereum was already on a downward trajectory at the time of the merger. The asset shot to a high of $1,775 on September 11, 2022, before hitting a massive hurdle that sent it crashing down. The Merger, which occurred four days later, was powerless to prevent this free fall, as the asset collapsed to a two-month low of $1,251 on September 22.
ETH consolidated between $1,200 and $1,400 for another month before embarking on a modest rally on Oct. 23. The rally took Ethereum to a local high of $1,645 two weeks later. Unfortunately for the asset, this rally coincided with the start of the FTX saga, which gained momentum when Binance revealed plans to liquidate its FTT holdings on Nov. 6.
Ethereum was not spared from the ensuing market-wide bloodbath as it plunged to a low of $1100 on Nov. 14. Ten days later, Ethereum developers voted on eight Ethereum Improvement Proposals (EIPs) for the Shanghai update, including consensus to unlock withdrawals for staked ETH. However, this development did little to rescue the asset from the bears’ clutches.
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In addition, ETH continued to consolidate between $1,100 and $1,300 through the end of 2022 with a value of $1,196, representing a 27% decline from its value at the time of the Merger. The market-wide uptrend that began earlier this year was the catalyst for the Ethereum breakout. Despite persistent increases in the asset this year, it has yet to recapture the $2,000 mark, which was last seen on August 14, 2022.
The asset is currently trading at $1,812 at the time of writing, up 2.7% from last week. Ethereum is looking to conquer its major crucial resistance points at $1,820 and $1,850, using the latter as a launching pad for the $1,900 target.
