Key Notes
- Ethereum’s technical indicators show potential for a breakout above the 50-day EMA resistance level.
- Ethereum’s Pectra upgrade, combining Prague and Electra phases, introduces 11 EIPs, including EIP-7702 for smarter wallets.
- The update enhances scalability, developer tools, and prepares Ethereum for future innovations like Verkle Trees and EIP-4444.
With the Ethereum Pectra upgrade set to go live today, the ETH
ETH
$1 845
24h volatility:
2.6%
Market cap:
$222.72 B
Vol. 24h:
$14.22 B
spot trading volumes have dried up a bit recently. Amid the broader crypto market recovery, ETH price has seen a bounce back, gaining 2.44% at press time, and moving to $1,838 levels.
CryptoQuant analyst Darkfost noted that the cooling off of the Ethereum spot volume could be a positive sign moving ahead. Amid Ethereum’s recent correction, a decline in volume under these conditions may help reduce market volatility, stated the analyst.
This shift could also ease the selling pressure that has been weighing on the market. However, it doesn’t necessarily signal a market bottom, so investors should maintain caution, stated the analyst.
ETH spot volume is cooling
“Ethereum spot volume is cooling off, and that might actually be a good sign… This could also potentially ease the selling pressure that’s been weighing on the market.” – By @Darkfost_Coc pic.twitter.com/xVXqT5oLry
— CryptoQuant.com (@cryptoquant_com) May 6, 2025
Here’s What ETH Price Technical Chart Shows
Ethereum has been on a steep correction since the beginning of 2025 and has been falling continuously over the past five months. The ETH-BTC pair has taken a severe beating and is preparing for major volatility ahead of the Pectra upgrade.
As of the technical charts, Ethereum is eyeing a potential breakout above the 50-day EMA resistance level. All eyes are currently on the FOMC meeting scheduled for Wednesday, and whether Fed Chair Jerome Powell will announce any rate cuts to fuel the rally.
#Ethereum is sitting right at the level of “resistance” that I pointed out last week, as well as the “50 Day EMA”. Very critical levels!
Maybe Powell will have some good news for us on Wednesday that sends $Eth and the $Alts pumping.🤞
It’s time! 🚀 pic.twitter.com/mwLpZ0BYQE
— Anonymous | Crypto Predictions (@Crypto_Twittier) May 7, 2025
As per the Fed Watch tool by CME Group, there’s over a 95% chance that Powell will keep the Fed rates unchanged, which means that the altcoins might have to wait for some more time to see a potential rally ahead.
Ethereum Pectra Upgrade: What Will It Bring?
Investors are now waiting for the next major Ethereum mainnet upgrade Pectra, which combines two planned phases, Prague and Electra. It introduces 11 new Ethereum Improvement Proposals (EIPs) in what is considered Ethereum’s most significant update since early 2024.
A key highlight is EIP-7702, which enables regular Ethereum accounts to execute smart contract code, enhancing wallet functionality and flexibility. Another major change, EIP-7251, increases the staking limit for validators from 32 ETH to 2048 ETH, simplifying operations for larger stakers and improving scalability. Here’s a quick look at things that the Ethereum Pectra upgrade will bring.
- Smarter wallets: Enhanced support for batch transactions and gas-free operations.
- Expanded staking options: Validators can now stake anywhere from 32 to 2,048 ETH.
- Improved rollups: Faster and more cost-efficient scaling solutions.
- User-friendly enhancements: Simplifying Ethereum for broader accessibility.
- Future-ready infrastructure: Paving the way for major updates like Verkle Trees and EIP-4444.
Advanced developer tools: Streamlined codebase for smoother dApp development.
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Disclaimer: Coinspeaker is committed to providing unbiased and transparent reporting. This article aims to deliver accurate and timely information but should not be taken as financial or investment advice. Since market conditions can change rapidly, we encourage you to verify information on your own and consult with a professional before making any decisions based on this content.
Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.
