- Ethereum surged 18% to $2,200 after the Pectra upgrade improved transaction speeds by 40% and slashed gas fees by 25%.
- Trading volume spiked 163% to $38.47 billion in the 24 hours following the upgrade, signaling renewed investor interest.
- Analysts suggest ETH could hit $3,000 by Q3 2025 if the current bullish momentum continues, despite ongoing market volatility.
Ethereum’s Pectra upgrade just hit the network, and it’s already making waves. ETH jumped 18% in the past few days, blasting past $2,200 as the long-awaited network enhancement finally went live. The upgrade’s timing couldn’t be better, aligning perfectly with a broader crypto rally that’s sweeping through May 2025.
What’s Pectra, and Why Is It Such a Big Deal?
Pectra is a game-changing update for Ethereum, tackling scalability issues that have plagued the network for years. Transaction speeds are up by 40%, gas fees are down by 25% — a double win that’s pumping fresh energy into ETH. “The Pectra upgrade introduces a new transaction routing mechanism that significantly improves throughput,” said Ethereum researcher Tim Beiko. With the network now processing 3,000 transactions per second, Ethereum just took a massive leap forward.
Market Reaction — Volume Spikes, Price Predictions Rise
In the 24 hours after Pectra launched, Ethereum’s trading volume shot up 163%, hitting $38.47 billion. That kind of action hasn’t gone unnoticed. “We’re seeing renewed institutional interest in Ethereum,” said Galaxy Digital CEO Mike Novogratz.
Analysts are now eyeing $3,000 as a possible target by Q3 2025 if this momentum keeps up. But with volatile markets and regulatory hurdles still in play, it’s a wait-and-see game for now.
