The blockchain network Ethereum has officially activated the Bellatrix upgrade, the final change before The Merge, the highly anticipated transition from proof-of-work (PoW) to proof-of-stake (PoS). Bellatrix was successfully codified into the codebase at epoch 144,896 on the Beacon chain and Ethereum co-founder Vitalik Buterin detailed it was important for network participants to update their clients.

From Bellatrix to Paris — Ethereum Participants Get Ready for the Final Step of the Merge
The Merge is estimated to take place on September 13, 2022, according to the wenmerge.com countdown, which notes there’s a hair over seven days left until the ruleset change. On September 6, Ethereum developers implemented the Bellatrix upgrade which is the final step until The Merge happens next week.

Eoin Treacy's view

The migration from proof of work to proof of stake is a major evolution of Ethereum. It’s the reason it has become the favoured crypto asset of institutions. They see the transition as a way of allowing Ethereum to be valued on a discounted cashflow basis because of the payments that will be granted for staking tokens.

The price doubled between mid-June and mid-August in anticipation of this event but has lost impetus recently. The reversal of today’s initial rally continues to highlight that liquidity is more important to the price of cryptocurrencies than technological advances.

Bitcoin extended its downtrend today to post a new reaction low.