- Ethereum users lost $489,868 in an attempt to mint COVIDPunks NFTs.
- Ethereum users who attempted to mint Stoner Cats NFTs lost 344.4 ETH worth $790,000 in failed transactions.
The minting of COVIDPunks, a new NFT that throws medical masks on top of CryptoPunks avatar started on Thursday with 10,000 NFTs selling out in less than an hour. The COVIDPunks launch coincided with London, Ethereum’s latest upgrade which introduced a new protocol that allows for the burning of Ethereum tokens.
Unfortunately, Ethereum users have lost a little over 174 ETH worth around $490,000 while trying to mint the new NFTs.
It was also reported that the COVIDPunks led to the destruction of 525 ETH worth about $1.5 million, said to be the biggest ETH burner. In less than an hour, Ethereum saw its supply dropped due to the token burn this produced.
Reports also estimate that as the emission rate of Ethereum reduced by -4.7 ETH per minute, the NFT drop forced the burn-up rate to climb as high as 14 ETH ($40,000) per minute. At this point, the Ethereum transaction fee surged from 70 Gwei ($5.8) to 400 Gwei ($33) as the network got clogged.
The congestion of the Ethereum network made transactions difficult, making transactions made to mint COVIDPunks fail with no possibility of gas refund on Ethereum. The estimated losses due to the failed transactions as calculated by a special tool on a crypto metrics platform Dune Analytics was 174.39 Ethereum which is worth around $489,868.
Why Ethereum users lost their funds
Ethereum users who also attempted to mint Stoner Cats NFTs launched just days ago lost 344.4 ETH worth $790,000 in failed transactions. In addition, the sales of Stoner Cats largely contributed to the rise in Ethereum gas fees. This skyrocketed the commission network to between $9.5 and $33.
The influx of users affected the Ethereum network, forcing the price mechanism on the minting contract to provide inaccurate gas fee estimates. This raises questions on the limitations of the Ethereum protocol as well as the responsibilities creators have to their audience. Developers have also shifted the blame on Metatask, a component of the Ethereum stack. At the time, it was reported that the NFT launch was delayed due to technical challenges.
It is explained that the majority of users who were affected attempted to mint 20 NFTs, which is the maximum allowed, without any attempt to adjust the gas limit in Metatask. This was explained by Decentralized Finance developer 0xWave:
In this case, the gas limit wasn’t set high enough to cover all steps in the transaction, so the transaction failed. However it’s not failing until it runs out, so ~100% of allocated gas is being used even without the transaction succeeding.
The inbuilt limitation of Ethereum was also said to be a reason, as limited throughput and spiking gas fee has become a major problem despite its vision of allowing anyone to deploy unrestricted codes.
The inbuilt limitation of Ethereum was also said to be a reason, as limited throughput and spiking gas fee has become a major problem despite its vision of allowing anyone to deploy unstoppable code.
Ethereum Price Forecast: ETH bulls set sights on new record high targeting $6,000
- Ethereum price is gearing up for a new all-time high as two significant bullish chart patterns have emerged.
- The governing technical patterns present optimistic targets at $6,015 and $6,365.
- A daily close above $3,960 would add credence to the bulls’ aspirations toward $6,000.
Ethereum price is hovering around a key support level which has previously acted as resistance for ETH, as the bulls catch their breath before the token resumes its rally. As long as the second-largest cryptocurrency by market capitalization holds above $3,960, a 60% surge is still on the radar.
Ethereum price eyes 60% ascent
Ethereum price has printed two major bullish technical patterns on the daily chart, an ascending parallel channel and a cup-and-handle pattern. The former chart pattern indicates that ETH has been consistently reaching higher highs and higher lows since mid-June, presenting an optimistic outlook for the token.
Based on the first governing chart pattern, ETH is likely to tag the upper boundary of the channel at $6,015, coinciding with the 161.8% Fibonacci extension level, representing a 48% climb.
The cup-and-handle chart pattern suggests that the projected target for Ethereum price is at $6,365, forecasting a 60% rally. While the two technical patterns establish an optimistic outlook for ETH, the token may be confronted by a headwind at its all-time high at $4,369, corresponding to the middle boundary of the parallel channel.
Additional hurdles may emerge at the 127.2% Fibonacci extension level at $5,092, then at the 161.8% Fibonacci extension level at $6,015.
Given the reinforcement of the two optimistic chart patterns presented on the ETH daily chart, retracements for Ethereum price may not be significant even if selling pressure arises.
ETH/USDT daily chart
Ethereum price will discover immediate support at the support trend line at $3,960, then at the 78.6% Fibonacci retracement level at $3,797. The following line of defense will emerge at the 21-day Simple Moving Average (SMA) at $3,710, then at the 50-day SMA at $3,453 before eventually dropping toward the lower boundary of the ascending parallel channel at $3,349, which meets the 61.8% Fibonacci retracement level.
If Ethereum price fails to hold above the aforementioned levels of support, the bullish outlook may be voided, prompting ETH to plunge lower toward the 100-day SMA at $3,137.
ETH bulls should aim for a daily close above $3,960 to reinforce commitment for the bullish target to be on the horizon.
Why is This Last Chance to Buy Ethereum? ETH Price Posied For $20k!
The broader cryptocurrency market cap is retesting at $2.556 trillion, post-brushing an ATH of $2.7 trillion on 21st October. Bitcoin price is trading at $61,619 with 0.09% gains over the past week. Besides its counterpart, Ethereum has outperformed it with 2.66% profits in the last week. Moreover, the most dominant altcoin has perpetually stood ahead of the star crypto in historical bull seasons and underperformed during bear traps.
Why Ethereum Price Could Take an Upswing Over $20k?
The top two leaders of the crypto space post-brushing their ATH are instantly preparing to enter the exuberant phase of the bull run. Especially, Ethereum’s price has stalked Bitcoin during the majority of bull runs since 2017. If a similar framework holds true, the star altcoin could leg up by 500X smashing $20k as it has achieved in its previous bull runs.
IncomeSharks, a popular crypto educative platform shared a compelling price chart. The pattern highlighted altcoin’s potential price action for the rest of the quarter. Since the start of the quarter, Ethereum has produced a significant number of double top patterns and one triple top pattern followed by considerable gains. Break out after the first double top pattern uplifted the price from $2,700 to $3,300.
Before climbing to the $4000 mark, the ETH price has formed a triple top pattern around $3,400. Confirming the uptrend the price again rose to the $3,800 resistance zone in the next few days. Breaking out a double top pattern from there, the asset hit an ATH of $4,366. The price has seen attempting to form a support level around $4,000, the breakout at this point could skyrocket the price action.
Moreover, the platform is soon planning to shift to the PoS network. EIP-1559 London hard fork upgrade is one of its efforts to stabilize transaction fees, which would enhance user experience. This could further act as a major catalyst in the upcoming bull cycle and help price momentum. Lark Davis, a popular crypto analyst shared enthralling information on the massive Ethereum burning of over 600k since the EIP-1559 upgrade. This creates a potential scarcity of the asset.
Collectively, Ethereum’s smart contract competitors and potential regulatory headwinds ahead might prevent its price action from exploding. However, popular crypto investorLilMoon Lambo opined that buying the star altcoin in October 2021 is identical to buying Bitcoin in October 2017 before it went to $20k. Meanwhile, he expects the ETH price to hit $15k by March 2022. On the other hand, Galaxy trading, a crypto platform suggested the $3900 level as the best opportunity.
Ethereum Forecast October 25 — 29, 2021
Ethereum ETH/USD ends the trading week at 4113 and continues to move as part of the rise and the formation of the ”Ascending Triangle” pattern. However, there is a lack of a test of the lower boundary of this model, so it should not be ruled out that the asset quotes will drop to the level of 2500 in the near future. Moving averages indicate the presence of a bullish trend in ETH/USD. Prices went up from the area between the signal lines, which indicates pressure from cryptocurrency buyers and a potential continuation of growth from the current levels. At the moment, we should expect an attempt to develop a price correction and a test of the support level near the 3375 area. Where can we again expect a rebound and a continued rise in the rate and value of Ethereum with a potential target above the level of 5055.
Cryptocurrency Ethereum Forecast October 25 — 29, 2021
An additional signal in favor of raising the ETH/USD quotes in the current trading week October 25 — 29, 2021 will be a test of the trend line on the relative strength index (RSI), now the RSI indicator values are testing the resistance line, which may trigger a drop in the Ethereum rate in the near future. The second signal will be a rebound from the lower border of the bullish channel. Cancellation of the growth option for the cryptocurrency value in the current trading week will be a fall and a breakdown of the level of 2755. This will indicate a breakdown of the support area and a continued fall in ETH/USD quotes with a potential target below the level of 2155. Confirmation of the rise in the Ethereum cryptocurrency will be a breakdown of the resistance area and closing of quotes above the level of 4355 , which will indicate a breakdown of the upper boundary of the ”Ascending Triangle” pattern.
Cryptocurrency Ethereum Forecast October 25 — 29, 2021 assumes an attempt to decline and test the support area near the level of 3375. Where can we expect a rebound and continued growth of the cryptocurrency to the area above the level of 5055. An additional signal in favor of the rise in the Ethereum rate will be a test of the trend line at relative strength indicator. Cancellation of the growth option will be a fall and a breakdown of the area of 2755. In this case, we should expect a continuation of the decline with a target below the area of 2155.