Volatility is not a new phenomenon to crypto investors. While it may signal fear in some investors, wise investors position early and “sell the news”. This week will be an eventful week for crypto investors and we may likely experience high volatility in price action. These two events will be the likely cause of volatility:
The Ethereum Merge
Every eye is on the Merge with high expectations that it will come with a bang. Tick, Tick, Tick. The long-awaited Merge is in three days when Ethereum will transition from a Proof-of-work (PoW) model to the Beacon Proof-of-Stake (PoS) model. This is the first time such an event will happen in the history of blockchain technology and most likely, the last. Additionally, the Merge will likely boost market confidence and infuse much-needed optimism after months of market volatility. Will it come with a bang or a whimper? Let’s find out on the 15th of September.
What is expected from ETH holders during or post Migration?
According to the official page of the Ethereum Foundation, “as a user or holder of ETH or any other digital asset on Ethereum, as well as non-node-operating stakers, you do not need to do anything with your funds or wallet before The Merge.”
Consumer Price Index (CPI) Data Release
The CPI data determines the inflation rate in the United States. They will release the August CPI data this week, sending a ripple signal around the crypto market. The CPI will determine whether the crypto market will take another plunge because financial regulators around the world would loosen their grip on risky assets like cryptocurrencies if inflation data remains below market expectations.
Will these events signal a dip or surge in the prices of digital assets? The coming days will be exciting. Let’s see as the events unfold with the week.Share & like