In-depth analysis of Ethereum Pectra upgrade: long-term technological leap, short-term pressure on ETH price

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Blockbeats
2 days ago
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Editor's Note: The Ethereum PECTRA upgrade includes 11 EIPs aimed at improving network scalability, reducing costs, and enhancing user experience. Key improvements include smart wallets, Rollup optimization, and enhanced staking features. These changes will drive Ethereum's long-term development but may put short-term pressure on ETH prices due to improved network efficiency, ETH burning, and reduced fees. Overall, PECTRA represents a significant technological advancement that enhances Ethereum's competitiveness.

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The's WILL take place. This upgrade will significantly enhance network performance but may put some short-term pressure on $ETH.

Here's the role and potential impact of each EIP: Every major Ethereum upgrade contains a series of EIPs (Ethereum Improvement Proposals).

EIPs are proposals for improving the network. This PECTRA upgrade contains 11 proposals, more than any previous upgrade.

We will now analyze these proposals and their potential impact on technology and $ETH.

EIP-7702

This proposal transforms ordinary wallets into smart wallets. It brings new features such as transaction batch processing, gas fee sponsorship, session keys, account recovery, and Passkey support.

Impact: This is an important step towards true account abstraction and driving mass adoption. It simplifies interaction with decentralized applications, supports gas-free transactions, batch payments, and makes the user experience more friendly.

EIP-7691

This proposal increases Rollup data capacity by doubling the number of blobs per block (from 3 to 6, or from 6 to to >

Impact:="The introduction ofObs has already significantly reduced gas costs for layer two networks.

This reduce L2 costs, but also reduce Ethereum mainnet revenue and ETH burning potentially risking ETH inflation and price drop in the short term.

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EIP-7251

Raising the staking cap from 32 ETH to 2048 ETH. Impact: Fewer validatorsors, increased centralization risk, improved staking efficiency, overall network congestion reduction

EIP-7623

If Rollups use regular calldata instead of blobs, they will need to pay higher fees.

This proposal aimsup aims to rollpush Rollups to use cheaper, temporary blob storage instead of permanent calldata storage.

Impactact: Currently, very few Rollups use calldata. This proposal will force remaining Rollups to switch to blobs, further reducing L1 revenue and potentiallyally causing ETinflationating.

EIP-7002

This proposal allows smart contracts to trigger validator withdrawals. Currently, only validators can withdraw using their own keys. With this change, exit operations can be directly managed by the execution layer.

Impact:: staking becomes programmable andless. This is particularly beneficial for liquid staking providers like @LidoFinance, who will gain more control, automation, and transparency.

EIP-7685

This proposal standardizes and extends communication between the execution layer (EL) and consensus layer (CL), allowing contracts to send structured requests to the consensus layer.

Impact: While it won't immediately change user experience, it paves the way for powerful new infrastructure capabilities.

It It helps automate staking, enables trustless restaking, and supports more complex modular designs.

EIP-2537

This proposal provides Ethereum with a native, fast way to execute BLS signatures.

This makes cryptographic operations like zk proofs, bridging, and staking faster and cheaper.

Impact: Makes Rollups and zk applications faster and cheaper. This upgrade enhances Ethereum's technical capabilities, potentially driving more adoption adoption, and supporting supporting ETH's value long-term.

EIP-2935

This proposal adds a system contract to retrieve historical block hashes (up to 8,192 blocks), solving the current current BLOCKHASH opcode's 256-block limitation.

Impact: No direct price impact, but it paves the way for more advanced use cases like cross-chain bridging and light clients, thus enhecosystem long-term.

EIP-6110

This proposal allows validator deposits to be directly included in blocks,eding staking process and reducing waiting time for new validators.

It encourages more staking participation, may potentially positively impETH.

This proposal optimizes validator signature authentication by reducing message size. It reduces network load and improves zk proof generation efficiency. It will enhance scalability, making Ethereum more efficient and attracting more high-performance applications, benefiting $H. This proposal standardizes blob management in execution layer profiles. This improves Rollup fee estimation and upgplanning.

Impact: Enhances developer experience and scalability, helping Ethereum grow more efficiently. A major upgraderade upgrade. It brings important technological advances,Able-, effective, and>the short-put term, may put pressure pressure on ETH prices as the network becomes more efficient,, leading to reduced ETETH burning fees.

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