Is the ETH rebound imminent? Can the Ethereum Pectra upgrade restart market confidence?

Original author: @nobrainflip Original text compiled by: zhouzhou,

Editor’s Note: Ethereum is undergoing a significant upgrade—Pectra, which brings improvements in trading experience, smart wallets, staking mechanisms, and more, focusing on user experience rather than technical aspects, enhancing usability. Although ETH is currently underperforming, below SOL and BTC, its historical rebound capability cannot be overlooked. ETH may see a rapid rebound, and the upgrade provides an opportunity for its return to the mainstream. The future performance of ETH is worth watching, especially with the emergence of new narratives.

The following is the original content (for the sake of readability and understanding, the original content has been reorganized):

The largest upgrade in Ethereum's history occurred two hours ago.

Almost no one mentions it now - but you will feel its impact, just like the price of $ETH will.

This upgrade is called Pectra: what changes does it bring? Why is it significant? What is the next phase of ETH?

May 7th is the most bullish update for ETH in crypto history - Pectra

This upgrade is indeed powerful, bringing many long-awaited improvements. But can it solve Ethereum's biggest problem - the stagnant price?

Let's break it down carefully. This upgrade is happening today, May 7th, and its focus is to benefit ordinary users. So, what specific changes will there be?

·Trading Experience (TXs)

·Safe Updates

·Smart Wallets

·Staking mechanism optimization

Next, let's take a look at the details of each item one by one:

Transactions (TXs)

No more cumbersome authorization operations, currency exchange can finally be completed in a single transaction.

In addition, you can complete multiple operations in a single transaction.

More importantly, anyone can sponsor the transaction fees, which means you no longer have to hold ETH on every chain.

Safe Updates

A new feature has been introduced: Spending Control

In other words, you can set a daily withdrawal limit for your wallet.

It will also bring a series of major security upgrades that make transactions faster and cheaper.

Smart Wallets

A key new feature is: wallet recovery mechanism

This mechanism is based on Account Abstraction technology.

It can turn your wallet into a smart contract wallet, with programmable logic, making it more flexible and secure.

Staking

The validator staking limit will be raised from 32 ETH to 2048 ETH, making staking more flexible and efficient.

At the same time, it supports faster deposit recognition and withdrawal through smart contracts.

This means that validators and stakers will have greater control over their assets.

Overall, the situation for ETH is still not optimistic, as its performance lags behind SOL and BTC.

In fact, ETH is currently at a temporary low, while BTC is approaching the $100,000 mark.

But don't forget - no asset will rise or fall forever.

Nevertheless, we should not give up on ETH easily, as it has the ability to rebound quickly in history. We will definitely see a new narrative for Ethereum, just like the previous restaking and many other updates; this time the narrative may even be the Pectra upgrade itself.

Remember, the changes in cryptocurrency are very rapid: trends come and go.

ETH may rebound quickly. That's why I've been continuously accumulating ETH, and of course, I'm also keeping an eye on other assets like SOL/BTC. (By the way, I currently hold much more ETH than SOL because the risk/reward ratio is better.)

I think this upgrade brings what Ethereum has been lacking - usability. Ultimately, they are no longer solely focused on smart contracts, scalability, and the ecosystem, but are truly starting to pay attention to user experience - ensuring that users no longer feel that using MetaMask is a torment after trying Phantom.

This is why I believe this upgrade will become a subtle turning point for Ethereum's return to the mainstream. I don't think Ethereum is the "Nokia" of the crypto world - far from it. I am confident that it will still have a significant rebound (even if it may not perform as well as SOL in the coming year).

The current market situation is very favorable: ETH/BTC is at a historical low, and market sentiment is extremely pessimistic.

You will be surprised to find that those who spread negative emotions quickly become believers during the first real rebound.

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