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.
Ethereum, the second largest cryptocurrency by market cap, has also lost its key trading levels and plunged to around $1,400. Yesterday, the network transitioned from Proof-of-Work to Proof-of-Stake following the merger. However, the merger has had an adverse effect on the price of Ethereum.
Meanwhile, Raul Pal, co-founder of hedge fund firm Goldman Sachs, has put forward his analysis of altcoins that are set to outpace Ethereum following the ETH merger.
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 believes that Ethereum is still in its early stages and that by the time ETH reaches that level, other platforms will have already gone too far.
According to the analysis data, some of the major layer-1 blockchains are Solana (SOL), Cardano (ADA), Polkadot (DOT), Avalanche (AVX), 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
According to reports, the merge will make the Ethereum network more sustainable and energy efficient as the network will reduce energy usage by 99.95%.
