Is the Status of Second-Ranked Ethereum in Risk?

Recently, Ethereum weakened. After the eth price fell below $300 in the previous period, it has not recovered. Some people say that the second position of the second king of Ethereum is not guaranteed at this time next year.

 

From the current point of view, there are several reasons for the decline in Ethereum prices:

1. The number of new projects in the bear market has decreased, and many have turned to traditional financing methods, reducing the demand for ether.

2. As a DAPP platform, there is no killer application, and there are fewer users 24h.

3. The transfer efficiency is slow, and a high transfer fee is required for congestion. This also led to a bad user experience with its Dapp.

 

Personally feel that if this state continues, the second position of Etereum in market value is really difficult to say. Of course, in terms of the current influence, ecology, and the number of users of Ethereum, no public chain platform can have enough strength to surpass it in the short term. And if you follow the ethereum news today you may find that next month, Ethereum will enter a new stage, there will be some changes, what changes? can these changes solve the problems at this stage?

A recent Ethereum proposal has been adopted by the development team and will be added to the fourth upgrade of Constantinople in October. The changes include:

1. The block reward is reduced from the original 3ETH to 2ETH

2. Delay the "difficult bomb" by 12 months

In doing so, including reducing the block rewards, the ultimate goal is to reduce the attractiveness of the POW miners. The miners who are unable to make ends meet gradually turn to POS, and eventually turn to POS.

 

This is equivalent to the decline in the circulation of the ether coin, and the transfer fee has also dropped. Is this a good thing for the majority of users?

 

The overall conversion to POS, compared to the current POW mechanism, the network processing efficiency and transaction rate will also increase, which will also enhance the experience of various types of dapp, attract more development ecological retention. However,  to ensure network security, this transition may be a gradual process.

 

Are you optimistic the upgrade of Ethereum? Can it help Ethereum to save the second position? How do you think of the ethereum exchange rate be like in the next month? Is it the right time to buy ethereum?