Ethereum cryptocurrency will stop depending on bitcoin next week

The price of Ethereum may show dynamics independent of other digital assets after the «Merger» (transition to the PoS consensus), as staking will make the second largest cryptocurrency similar to bonds or exchange-traded products. This is stated in the Chainalysis study.

on September 15−16, the «Merger» will take place, which will lead to an active growth of interest from institutional investors. They are interested in the expected yield of 10−15% per annum. This figure will exceed the return on financial instruments such as bonds and commodities.

According to Chainalysis, the number of institutional Ethereum investors (with balance sheets of more than $ 1 million in ETH equivalent) is «steadily growing» — from less than 200 in January 2021 to ~1100 in August this year.

The faster growth of this figure after The Merge would confirm the hypothesis that institutions «do see staking the world’s second cryptocurrency as a good profit-making strategy.»