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Ethereum Market Update: Ethreum sidechain to support 2000 transactions per second

  • Ethereum startup launched a network scalability solution.
  • ETH/USD is trading below $230.00 amid slow market activity.

Startup Matter launched a beta-version of Ethereum sidedchain with a capacity of up to 2000 transactions per second. This is the second level solution zkSync on zkRollup technology with a throughput of 2000 transactions per second and an average transaction fee of $0.01.

The team announced in the blog post: 

Six months ago we introduced our vision for zkSync: a trustless L2 scaling solution to enable mass adoption of public blockchains. Today, we invite you to celebrate with us the first big milestone on our roadmap — the launch of zkSync v1.0 on mainnet.

Initially, zkRollup will increase the network scalability from the current 15 to 200 transactions, which is comparable to the capacity of PayPal payment system. During the next months the startup plans to increase the data processing speed by ten times, which will bring it on a par with Visa payment system.

The average commission size will also change dramatically from the current $0.2 to about $0.01. Currently, the Ethereum users spend over $2 million on transaction fees.

ETH/USD: technical picture

Ethereum (ETH) is changing hands at $228.50, mostly unchanged both on a day-to-day basis and since the start of the day. The second-largest digital asset has a market value of $25.5 billion, while an average daily trading volume is registered at $6 billion.

The coin hit the bottom at $89.64 on March 13 and recovered to $253.47 by the beginning of June. However, the further recovery stalled and the coin retreated below $230.00 amid general deterioration of the market sentiments. The local resistance is created by the upper boundary of recent consolidation channel at $240.00. Once it is created, the upside momentum may extend to the above-mentioned high of $253.47.

On the downside, the local support comes at $215.70 (daily SMA50). If it is broken, the sell-off may continue towards psychological $200.00.

ETH/USD daily chart

Author

Tanya Abrosimova

Tanya Abrosimova

Independent Analyst

 

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