{"id":366366,"date":"2018-12-24T18:30:54","date_gmt":"2018-12-24T18:30:54","guid":{"rendered":"https:\/\/wncen.com\/?p=366366"},"modified":"2019-01-15T22:13:28","modified_gmt":"2019-01-15T22:13:28","slug":"ethereum-constantinople-bullish-long-run","status":"publish","type":"post","link":"https:\/\/wncen.com\/news\/ethereum\/ethereum-constantinople-bullish-long-run\/","title":{"rendered":"Analyst: Ethereum Constantinople Is “Decidedly Bullish” Over Long Run"},"content":{"rendered":"

As the crypto market has been flushed with green tickers, Ethereum (ETH) has surged, moving from a year-to-date at $81 to $150 in a matter of a few weeks’ time. In classic crypto fashion, this monumental rally, which nearly doubled the value of Ether, wasn’t backed by a clear catalyst. Some looked to the potential advent of ETH<\/a>-backed futures, while others looked to the impending Constantinople upgrade.<\/p>\n

A prominent crypto-friendly analyst and commentator, Alex\u00a0Kr\u00fcger, recently broke down the latter, doing his best to determine whether Constantinople can (or has) push(ed) Ether higher.<\/p>\n

Ethereum Constantinople: Is It Bullish Or Bearish?<\/h2>\n

For those who missed the memo, Constantinople<\/a> is the next notable upgrade in Ethereum’s timeline, as the activation of the protocol will bring the blockchain one step closer to Serenity (scaling, Proof of Stake, etc.). While there are a number of short-term scaling upgrades pertinent to Constantinople, the launch of the protocol, slated to occur on January ~16th will cut block rewards from three to two Ether.<\/p>\n

Taking the simple theories of supply and demand into account, while also looking at the price action of Bitcoin pre- and post-block reward shifts, many see the upgrade’s onset as a positive signal for ETH.\u00a0Kr\u00fcger echoed this sentiment, claiming that in the long run, the so-called block reward “thirdening” will be “decidedly bullish.”<\/p>\n

Interestingly, the analyst noted that news regarding the Constantinople fork might not have pushed Ether higher over the past few days. Kr\u00fcger explained that once the date was decided for the upgrade’s activation, ETH spiked for a day, before dropping for eight days straight as bears didn’t abate. Moreover, the block reward reduction was determined on August 31st, indicating that the market should’ve priced this factor in during the past few months.<\/p>\n

Analysis of historical events of similar proportions didn’t help either, as the result that previous Ether issuance reductions had on the Ethereum price varied each and every time.<\/p>\n

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1\/ #Ethereum<\/a>'s Constantinople fork is coming on block 7080000, around January 16, 2019. Constantinople will reduce the block rewards from 3 to 2, decreasing new $ETH<\/a> supply accordingly. <\/p>\n

On the long run, this is decidedly bullish. https:\/\/t.co\/4bbgAHMz7Z<\/a><\/p>\n

— Alex Kr\u00fcger (@krugermacro) December 24, 2018<\/a><\/p><\/blockquote>\n