Ethereum Blocks Average Time Increases, Same as Difficulty Bomb

According to data from Glassnode, the average time between blocks in Ethereum has started to increase. The firm has noted a rise of 5% since April. The difficulty bomb implemented in EIP-4345 also has noticeable effects, rising from 13 to 14.0s in average block intervals.

The Difficulty Bomb Is Increasing

Notably, the number of assets in decentralized finance dapps has also decreased by 40% since October. At present, that’s worth $12.5 billion, compared to the entire amount of assets in DeFi of $50 billion, which is a half of the amount in November.

The August timeline is ideal for transitioning to a more efficient PoS network due to the network’s difficulty bomb. Notably, the difficulty bomb incentivizes miners to switch to a more efficient system.

Ideally, the merge should happen before the bomb, which would prevent the network from crashing. Notably, the difficulty bomb is designed to double its difficulty every two weeks.

Last December, Ethereum developers delayed the bomb. Due to the delay in the bomb’s rollout and its potential impact on the network, the average block time for the network could take between 15 to 20 seconds by August. According to Justin Drake, the Ethereum Foundation is working on a plan to resolve the issue before then.

Hopes of the ‘Merge’ Taking Place This August

The migration of Ethereum to the Beacon Chain is regarded as the most significant event in the network’s history. It will allow the platform to maintain its status as a blockchain with a proof of work and a proof of stake. The most significant change to come is expected to reduce energy consumption by 99%.

According to a developer, the migration of Ethereum to the Beacon Chain could happen in August. This development was carried out due to the various delays that the platform has experienced.

During a panel discussion, Preston Van Loon, the core developer of the project, said that they could complete the final steps of the migration in around three months. Although it’s tempting for Ethereum users to get excited about the upcoming migration, it’s important to remember that the Beacon Chain’s depositors have already been there since December 1, 2020, and the merge is yet to occur.

Steps Towards the Merge

Currently, Ethereum is testing the merge with multiple testnets already running. At the moment, the project’s main goal is to merge the Ropsten testnet with the Beacon Chain before the end of June. It will allow the network to mirror its structure. 

The first phase of this merge will take place on May 30, with the transition taking place on June 8. The Ethereum Foundation also announced on May 16 that it had added the PoW mainnet and the PoS chain’s bounty programs to its ecosystem marking its dedication to the merge.

Ethereum Price Recovers Above $2K

After breaking the support at $1,950, the decline continued in Ethereum. However, the bulls held the bears near the support at $1,920, which is the 100 hourly moving average.

The price of Ether started a recovery wave from the low of $1,911 and moved above the key resistance levels of the descending channel. It also formed a clear head and shoulders formation. The price is now testing the support at the $1,950 and the resistance at the $1,960 levels.

On the hourly chart of the US dollar/ETH pair, the price has broken a significant support line. It is now trading above the resistance level of the descending channel.

The price is currently facing resistance near the $2,100 level. It is also near the 61.8% Fib level of the last decline from the high of $2,833.50 to the low of $1,911.50. The next major resistance is around the $2,40 area. A close above this level could trigger a steady increase. If the price manages to break above the resistance level of the descending channel, it could target the next major resistance at the $2,200 level.