Ethereum Killers Are On The Rise, Thanks To Ethereum's Rise.

Ethereum Killers Are On The Rise, Thanks To Ethereum's Rise. Ethereum is regaining ground following the bear market and the announcement of the upcoming merger to switch from the POW protocol to the POS protocol. It turns out that the Ethereum Killers are also taking advantage of this effect to see their prices climb in recent days.

The “Ethereum Killers” in the green

Solana, Avalanche, Alrorand, Polkadot, and Cardano benefit from the rise of Ethereum following the announcement of the merger (The Merge).   Often referred to as Ethereum Killers because they offer similar features to the smart contract network, but with a much lower transaction cost.

This merger will replace the POW (Proof of Work) protocol with the POS (Proof of Stake) protocol. It is an algorithm that consumes much less energy and does not put miners in competition. The Ethereum Killers already use it for the majority, hence the possibility of carrying out transactions at a lower cost.

Thus, in the last 24 hours, Solana (SOL) gained 11% with a peak of 36% in the last 7 days. The asset is currently trading at $45.37 from $33.7 a week ago. In a similar fashion, Avalanche has seen its gains skyrocket with AVAX taking 10% since yesterday and 43% over the past 7 days to a current price of $25.55.

We find slightly more modest gains, but identical behavior for Algorand, Polkadot, or Cardano. As a result, ALGO has taken 7% in 24 hours and 25% in the past week (current price: $0.3745). 

Regarding Polkadot (DOT) it is 8% more of its value over the last hours and 23% over the last 7 days (current price: $8). Finally, Cardano (ADA) follows the same logic with gains of 8% in 24 hours and 23% over the week bringing it to $0.546.

A positive feeling

The rise of Ethereum following the announcement of the merger to switch to the POS protocol seems to have had a positive impact on the market. Investors have decided to believe more in the project, but also in its competitors.

It must be said that before the announcement of this merger, Ethereum was worth around $1200. This cryptocurrency has taken almost 50% in a week to reach $1547.86 at the time of writing. The market is therefore closely following the next updates of ETH with The Merge which should occur this time on September 19th if all goes well.

As a bonus, Bitcoin has recovered in recent days. Moreover, it has crossed the $23,000 mark since yesterday, an increase of 8% in the last 24 hours and 19.46% in the last 7 days. It is well known that when bitcoin is positive, it impacts the market favorably helping the majority of other cryptos to climb as well.

Know how to stay alert

After several dark weeks, this resurgence for these major cryptos could translate as the light at the end of the tunnel finally visible. However, analysts do not all share this opinion, in particular, whether this rise will continue or not. GlobalBlock analyst Marcus Sotiriou spoke on Monday saying:

"Even though there was data about inflation last week, the crypto market seems to have seen some relief leading to this general uptick. Still, when a market reacts positively to news that is mostly negative, it sounds like a signal that a dip could break out and be much bigger. Investors' fear can translate into a desire to drive the market up at all costs by fixing prices in this way until the negative news is too far-reaching."

The next Ethereum update and the addition of the POS protocol could change things depending on the success of the project. This is a step that has been awaited for several months, which is just as critical to put in place as it is necessary. This is not the first time that this Ethereum update has been scheduled and has been pushed back.