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ETH Surges 20%, Biggest Gain Since 2021 as Pectra Upgrade Helps Restore 'Confidence'
Ethereum (ETH), the second-largest cryptocurrency by market capitalization, recorded its biggest single-day gain since 2021, jumping 20% as renewed investor confidence followed news of the highly anticipated Pectra upgrade.
Massive Rally Signals Renewed Momentum
On Wednesday, Ethereum soared past several resistance levels to trade above $3,800, marking a dramatic 20% surge in 24 hours. This rally represents the largest one-day percentage gain for ETH since November 2021, when the broader crypto market peaked.
Analysts and developers attribute this rally to growing optimism surrounding the upcoming Pectra upgrade—an important step forward in Ethereum’s ongoing transition to a more scalable, secure, and user-friendly network.
What Is the Pectra Upgrade?
Pectra, short for "Prague-Electra," is the next major Ethereum upgrade scheduled for release in late 2025. It is designed to implement several Ethereum Improvement Proposals (EIPs), including enhancements to smart contract capabilities, validator usability, and improvements to Ethereum’s staking system.
Perhaps most notably, Pectra includes technical adjustments aimed at reducing gas costs and streamlining account abstraction—an essential step toward mainstream-friendly wallets and broader ecosystem adoption.
"The Pectra upgrade reflects Ethereum's long-term commitment to innovation and user experience," said Tim Beiko of the Ethereum Foundation. "It's the kind of roadmap clarity that restores confidence in Ethereum’s future."
