-The Merge, Ethereum’s move from a proof-of-work (PoW) to a proof-of-stake (PoS) consensus mechanism, reduced Ethereum’s energy usage by 99.95%.
-The Merge could potentially attract more institutional investors to the crypto space, as well as appease regulators who have been concerned about the environmental impact of blockchain networks.
-The Ethereum community will have to wait for the Surge, another upgrade scheduled for 2023, to potentially boost network speed.

The Ethereum network has been a favorite token of investors since it has a market cap of almost 200 billion. While the current price movement is an outcome of retail interest, institutional investments still account for a considerable chunk of ETH’s market cap, and this will only continue to grow. The Merge, Ethereum’s move from a proof-of-work (PoW) to a proof-of-stake (PoS) consensus mechanism, has been a major development for the blockchain network. This switch greatly reduced Ethereum’s energy usage by 99.95%, from 94 TWh per year down to 0.01 TWh. This could potentially attract more institutional investors to the crypto space, as well as appease regulators who have been concerned about the environmental impact of blockchain networks.

However, some experts are of the opinion that the Merge does not yet solve Ethereum’s scalability issues, and it will take more time for it to accelerate adoption by institutional investors. For this, the Ethereum community will have to wait for the Surge, another upgrade scheduled for 2023, to potentially boost network speed. This upgrade could potentially increase the transaction speed and throughput of the blockchain, thus making it more attractive to institutional investors.

The rise of institutional investors could be a major factor in pushing the Ethereum price higher and reaching $4k in 2023. This will be possible if the network upgrades are successful and the Ethereum community is able to attract more institutional investments. However, this is not a guarantee, as the crypto space is constantly evolving and new advancements can always come up, which could potentially disrupt the price movement. Nonetheless, if Ethereum is able to stay ahead of the curve, then it could reach the $4k price target in the near future.

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