- In a recent interview, Ethereum co-founder Vitalik Buterin said he believes in making Ethereum the world’s computer.
- The number of active users on the network has shot up, and analysts have bullish impressions on the altcoin.
Ethereum (ETH) co-founder Vitalik Buterin thinks the network is poised to become the world’s computer. This means going mainstream as a secure and flexible base layer for online applications.
In a recent interview, the developer told The Defiant that the upcoming Merge is pivotal in this mission. He has previously mentioned that the launch of the consensus layer is likely to happen in June. Afterward, the network is expected to proceed to shard, a technology intended to vastly increase the blockchain’s scalability. Buterin is quite bullish on the lead altcoin and is confident that future upgrades will drive the network’s sustainability.
Ethereum as a world computer
Critics are of the view that the network may not be the preferred settlement layer due to its high gas fees. Layer-2 scaling solutions such as Polygon have flourished as they help cut down Ethereum transaction fees. They are, however, yet to conquer rival blockchains which competitively charge fractions of pennies in gas fees.
But even then, the total value of applications running atop the Ethereum blockchain has risen to stellar heights. A Q4, 2021 report notes that the total value locked (TVL) surged to $154.2 billion, up from $17.73 billion within a year, representing a 770 percent hike. Additionally, the network’s revenue shot up 1,777 percent to $4.34 billion, from just $231.4 million a year before. Daily active addresses rose by 35 percent, while the amount of staked ETH rose 471 percent.
The largest smart contract platform since 2015 has now hit a new milestone in terms of active users. In the last fortnight, the number of active users with a non-zero balance has climbed to 18.36 million. These statistics point to a rise in on-chain activity and utility of applications built atop Ethereum. They are also considered bullish catalysts for the altcoin’s price, aside from technical indicators.
ETH marks an upcoming bullish trend
According to market analysts, Ethereum is set on a bullish trend since its chart has drawn an inverse head-and-shoulders pattern. The pattern is an indicator of the close of a bearish phase and the beginning of an uptrend. Presently, ETH trades at $3,145, 2.2 percent up in the past day.
Pseudonymous crypto analyst @Phoenix_Ash3s predicts a $3,600 target for the crypto asset. FXStreet analysts believe a short squeeze is imminent, and it will have the price of ETH shooting up to $4,000. The $3,000 mark is a key psychological level for the price of Ethereum, according to analysts. They also believe that if the altcoin attains a daily close above $3,100, then it could be set to regain the $4,000 target.
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