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Tuesday, May 11, 2021

Ethereum: USD/ETH (ETH=) switch to a proof-of-stake network will “more than double” the current economic activity

Ethereum: USD/ETH (ETH=) switch to a proof-of-stake network will “more than double” the current economic activity

Staking blockchain-based tokens, the process of holding crypto for a set period of time and earning rewards, already accounts for approximately $8 billion in market activity. And that figure could soon double thanks to Ethereum, according to a new report from Binance Research.

The report, which Binance touts as the crypto industry’s “first major study into staking,” suggests that the crypto market could soon get a major boost from staking once Ethereum complete’s it planned transfer from a proof-of-work to proof-of-stake (PoS) blockchain network.

“With Ethereum’s impending switch to Proof of Stake, staking is expected to take a more substantial portion of the market’s attention. As more infrastructure players support staking, the entire ecosystem will be able to mature,” the report states.

At the moment, staking represents roughly $8 billion in cryptocurrency activity, according to Binance, with another $15.4 billion in crypto funds available for staking. And once Ethereum makes the switch, these figures are expected to skyrocket, the report claims.

While the study focuses on Ethereum, Binance didn’t hesitate to tout its own products in its report, such as Binance Staking. The new platform is designed to provide analyses of the industry’s staking coins and allows Binance customers to invest in these coins through its platform and gain interest, in a sense, on their holdings.

Ethereum’s move to proof of stake has been in the works for some time, a project that has thus far garnered more than $10 million in grant money from ETH stakeholders, according to Binance’s report.

The study suggests that the switch to PoS is likely to make Ethereum more scalable, a change that couldn’t come soon enough. In an interview with The Sar last August, Ethereum co-founder Vitalik Buterin warned that the Ethereum blockchain was nearly full.

Technical Indicators

Overall, the bias in prices is: Downwards.

By the way, prices are vulnerable to a correction towards 188.19.

The projected upper bound is: 209.47.

The projected lower bound is: 158.09.

The projected closing price is: 183.78.


A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 4 white candles and 6 black candles for a net of 2 black candles. During the past 50 bars, there have been 23 white candles and 27 black candles for a net of 4 black candles.

Momentum Indicators

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 66.1351. This is not an overbought or oversold reading. The last signal was a sell 18 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 53.97. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 39 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 99. This is not a topping or bottoming area. The last signal was a sell 0 period(s) ago.


The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 3 period(s) ago.

Rex Takasugi – TD Profile

FOREX ETH= closed down -0.290 at 183.700. Volume was 79% below average (consolidating) and Bollinger Bands were 31% narrower than normal.

Open     High      Low     Close     Volume___
183.990 185.900 179.350 183.700 13,546
Technical Outlook 
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bearish
Moving Averages: 10-period     50-period     200-period
Close: 175.79 182.54 212.10
Volatility: 88 90 86
Volume: 47,669 68,403 66,247

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.


FOREX ETH= is currently 13.4% below its 200-period moving average and is in an upward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of ETH= at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on ETH= and have had this outlook for the last 1 periods.

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