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The Ethereum blockchain is set to undergo a major enhancement with the upcoming Glamsterdam upgrade, which will increase the network’s gas limit from 60 million to approximately 200 million. The change is expected to more than triple Layer 1 execution capacity, significantly improving Ethereum’s scalability. The upgrade was agreed upon by over 100 core developers at the Soldøgn Interop event and aims to reach 10,000 transactions per second.
Hasufl, a prominent figure in the Ethereum community, said that unless there is a corresponding surge in demand, gas fees are likely to remain minimal. The upgrade is part of a broader initiative to optimize Ethereum’s performance and reduce transaction costs.
The market reaction to the Glamsterdam upgrade news aligns with scenarios in which Ethereum’s price may rise. Increased utility and reduced transaction fees could drive higher demand, which would be supportive of a YES outcome in price predictions for May. The impact is categorized as moderate, indicating a potential shift in market sentiment toward Ethereum’s growth potential.
Key items to monitor include Ethereum’s actual performance after the upgrade and whether the network can sustain low fees. Additional signals that could influence sentiment include statements from influential figures such as Vitalik Buterin and developments related to Ethereum-focused exchange-traded funds (ETFs). Observers will also be watching for broader changes in the crypto market that could affect Ethereum’s trajectory.
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