Between March 20 and March 27, Ethereum’s market capitalisation increased by around $31 billion, from $346.7 billion to $377.1 billion, amid the increased expectation for the Proof of Stake (PoS) upgrade.
Although the market will closely observe if the current gains will continue, Ethereum has maintained the capital inflow for two weeks. The sharp rise was reawakened on March 15 following the successful deployment of the Ethereum “merge” on the Kiln testnet. Many crypto experts believe that the upgrade is the driver for the rally.
PoS will allow investors to stake Ether, which will undoubtedly draw further participants to the network. Additionally, the PoS protocol will drastically cut down on Ethereum’s power consumption and appeal to institutional investors who pay attention to environmental, social, and governance concerns (ESG).
It’s worth mentioning that the asset has outperformed Bitcoin during the same period, which has witnessed a change in market cap.
