But that doesn’t erase any of Ethereum’s constructive developments.
For example, Ethereum started testing the long-awaited Byzantium fork, which took place yesterday when block 1,700,000 was mined.
It is a landmark moment for Ethereum—its roadmap for the future depends on these upgrades.
Byzantium is supposed to introduce greater privacy to the Ethereum blockchain, mimicking the finer qualities of peers like Zcash. If it works, the uþgrade will allow verification of data without revealing the data itself.
The first transaction using this technology took place yesterday, but it was only a test. More testing will take place through October, after which Byzantium will be implemented into some transactions.
Eventually, the technology will require upgrades to bring down its cost, but that’s not the point.
ETH prices would have skyrocketed if this happened under normal circumstances. That’s the frustrating part. By sheer bad luck, China’s crackdown took place a week before, hence the lackluster market reaction.
The Ethereum to USD exchange rate moved 0.97% lower to $283.23. At the same time, the Ethereum to Bitcoin exchange rate bounced up 0.64%.
Ethereum has never been known for privacy, which left room for rivals like Zcash and Monero to prosper. But that doesn’t have to be the end of the story. Natural selection is about to rear its ugly head.
By poaching the best qualities of its competitors, ETH might remove the need for investors to hedge among multiple currencies. This is the crypto equivalent of Facebook copying Snapchat’s features in order to drive it out of business.
It is a big tailwind for the Ethereum price forecast, but investors don’t see it yet. They will, though, so try not to let the lack of volatility disturb you.