Traders are preparing for the upcoming Pectra upgrade for Ethereum, sparking active speculation in the market.
Preparation for the Pectra Upgrade
Traders are gearing up for the upcoming Pectra upgrade for Ethereum (ETH), prompting discussions about potential price changes. This has raised interest in the 'buy the rumor, sell the news' phenomenon.
Details of the Pectra Upgrade
The upgrade is slated for early April, contingent on successful tests scheduled for late February and early March. According to QCP Capital, there is a bullish trend among traders: 'Traders are positioning for another volatility event.' The Pectra upgrade will implement eleven key features, including blob expansion and smart wallet capabilities.
Market Predictions for Ethereum
Despite improvements, there hasn’t been significant growth in L1 demand. The most popular bullish bets were on $3.2k and $3k, while bearish protection bets were at $2k. Options market forecasts a 14% chance of reaching $4k by the end of April. This probability rises to 25% by June, indicating an increased likelihood of hitting this mark in the summer.
Currently, the market anticipates a positive effect from the new features in Ethereum, but how it will affect price dynamics remains unknown.
