Investors in Ethereum are preparing for the biggest update of the year! How Will ETH Price Be Affected? Analysis Company Revealed!

Ethereum (ETH) failed to experience the expected recovery, while yesterday’s rise excited investors. However, this rise, although short-lived, also raised questions about the future of ETH.

At this point, QCP Capital, a Singapore-based cryptocurrency platform, listed its expectations regarding ETH.

Analysts who made their latest analysis based on the upgrades in Ethereum stated that investors are preparing for the Pectra upgrade, which is currently in the testing phase and expected to be launched in early April.

According to analysts, analysts who stated that the volatility increased before the Pectra upgrade on ETH, said that there was a significant break in Ethereum’s option structure around the end of March due to the Pectra upgrade at the beginning of April.

At this point, QCP analysts referring to previous upgrades said that ETH increased by 100% before the Merge in 2022, and after the Shanghai upgrade in 2023, it experienced a 30% increase.

Analysts also indicated that the narrative for Pectra’s rise has begun, with options investors preferring the 28 March maturity call options and expecting an increase with Pectra.

Despite expectations of an increase before the Pectra upgrade, analysts pointed out that the overall weaknesses in altcoins and the rise in Bitcoin dominance could suppress the momentum of the rise in Ethereum.

Analysts added that factors such as the collapse of LIBRA, the decline of Solana and ETH to pre-US election levels indicate weakness in altcoins.

In options, the maturity structure develops a distinct bend around the end of March, especially in ETH, probably reflecting the positioning before Ethereum’s Pectra upgrade.

Looking at past upgrades, The Merge on September 3, 2022 followed a classic ‘buy the rumor, sell the news’ model. ETH surged over 100% before the Merge.

On the contrary, the Shanghai ( April 2023) market was met with pessimism due to fear of oversupply.

However, when the selling pressure did not materialize, ETH rose by 30% in the following months.

*At this point, investors may be preparing for another volatility wave as Pectra approaches and with the implied volatility on the rise after March 28th. Voller, on the other hand, is intensifying calls in favor starting from March 28th.