It’s been an exceptionally bearish week as most of the cryptocurrencies are trading in the red. Bitcoin, the world’s first cryptocurrency, has lost its $20,000 level and is trading around the $19,000 level.
The second largest cryptocurrency by market cap, Ethereum, has also lost its key trading level and has dropped to around $1,400. Yesterday, the network entered into proof-of-stake from proof-of-work after the merge. However, the merger has had an adverse impact on the Ethereum price.
Meanwhile, Raoul Pal, co-founder at Goldman Sachs, a hedge fund company, has put forward his analysis of the altcoins that are set to outpace Ethereum after the ETH merge.
The expert believes that the Ethereum merger will be a positive event but the currency’s layer-1 competitors will be taking over because those assets are already enjoying scalability and affordability.
He feels that Ethereum is still in its initial stage and by the time ETH hits that level, other platforms would have already gone too far.
As per the analysis data, a few leading layer-1 blockchains are Solana (SOL), Cardano (ADA), Polkadot (DOT), Avalanche (AVAX), Cosmos (ATOM) and Binance Chain (BNB)
Raoul Pal also claims that yesterday’s Ethereum merge will surely impact a cycle in decentralized finance (DeFi) along with improving other financial projects in the crypto world
As per the reports, the merge will make the Ethereum network more sustainable and energy efficient as the network will reduce the use of energy by 99.95%.