Ethereum Slumps On Growing Merge Concerns

The price of Ethereum (ETH) has fallen 7% to right around $1,600 U.S. on growing concerns about its switch to a more energy efficient operating model.

Ethereum is expected to transition to a greener proof-of-stake protocol in September of this year, but there are rising concerns that the timing for the so called “merge” event will be pushed back.

Currently, Ethereum operates on the same model as Bitcoin (BTC), which requires miners to verify transactions and maintain the network’s security through an energy intensive proof-of-work protocol.

The “merge” will shift from this consensus model to a more energy efficient proof-of-stake protocol.

However, the merge event has been pushed back multiple times and there are concerns that it could be delayed once again next month, which is putting pressure on the price of Ethereum.

The second-largest cryptocurrency with a market capitalization of $193 billion U.S., Ethereum’s price is down 65% from an all-time high of $4,891 U.S. reached last November, according to CoinMarketCap.