News View Non-AMP

Ethereum Dencun Upgrade Blasts Off! ETH Price to Hit New ATH This Week?

Published by
Qadir AK

Ethereum (ETH) fans rejoice as the long-awaited Dencun upgrade finally arrives today, promising to shake up Layer 2 (L2) networks and potentially boost ETH prices beyond $4,000.

This isn’t just another update – it’s a major milestone in Ethereum’s evolution, promising significant improvements in efficiency and scalability. But how exactly will Dencun shake things up?

Key Features of the Dencun Upgrade

Following last year’s Shapella upgrade, Dencun brings in several improvements to make Ethereum faster and handle more transactions. One exciting feature is the introduction of ephemeral data blobs with EIP-4844, nicknamed “protodanksharding,” which aims to significantly lower L2 transaction fees.

Dencun’s goal is to drastically reduce transaction costs, with fees dropping from $1 to just one cent. Even smaller transactions, which previously cost cents, can now be completed for a fraction of a cent. This cost reduction aims to greatly improve the user experience, surpassing previous upgrades like the September 2022 “Merge.”

Besides fee cuts, the Dencun upgrade introduces blobs, a new way to store data for Layer 2 networks. These blobs store data for a shorter time, about 18 days, saving costs and making Ethereum more scalable.

Community Enthusiasm and Developer Involvement

Tim Beiko, an Ethereum core developer, expressed excitement on Twitter about the upcoming arrival of Dencun. Developer engagement has been strong, with many client teams releasing Dencun-compatible versions that include important performance and stability improvements.

Gnosis Chain’s early adoption of the Dencun upgrade before its Ethereum mainnet launch has stirred up anticipation. Ethereum co-founder Joseph Lubin praised this move, highlighting its importance for the Ethereum community.

Fee Reductions Ahead!

Adding the positive vibe, IntoTheBlock’s analysis predicts significant fee reductions of at least 80% for major Ethereum Layer 2 solutions after the Dencun upgrade. Optimistic estimates indicate that fees for depositing USDC on platforms like Aave could drop to as little as $0.0091, marking a remarkable 27-fold decrease. Additionally, substantial improvements in data blob functionality are anticipated for OP stack chains.

Is There Hope for the Future?

While the exact impact of these changes remains uncertain, the Ethereum community is optimistic about the upgrade’s potential benefits and eagerly awaits its rollout.

In summary, the upcoming Dencun upgrade is a significant milestone for Ethereum, demonstrating its commitment to scalability, efficiency, and innovation. As the activation date approaches, excitement within the Ethereum community continues to build.

Qadir AK

Qadir Ak is the founder of Coinpedia. He has over a decade of experience writing about technology and has been covering the blockchain and cryptocurrency space since 2010. He has also interviewed a few prominent experts within the cryptocurrency space.

Recent Posts

Ripple Price Prediction as XRP ETF Approval Odds Near 100%

XRP is once again making headlines as the odds of a Spot XRP ETF approval…

July 6, 2025

Best Memecoin To Buy Now? Pepeto Could Mirror Doge and SHIB Past Price Rallies

The memecoin world is going through a big transformation. Where tokens once thrived purely on…

July 5, 2025

These 4 Meme Coins Could 20x in 2025 as Spot Dogecoin ETF Nears SEC Approval

The meme coin market is heating up like never before—and 2025 might just be the…

July 5, 2025

Liked by Investors: This $0.03 Coin Has the Same Upside Potential as XRP (XRP) in Early Days

Years ago, XRP traded under a penny, shrugged off by many who didn’t fully grasp…

July 5, 2025

Why Remittix’s Unique PayFi Offering Has Cardano & XRP Whales Circling After $15 Million Is Raised!

Remittix is quickly gaining ground as a serious crypto player, especially after raising over $15.9…

July 5, 2025

XRP’s Tight Range Signals Imminent Move–Experts Predict Major Breakout

XRP is standing out with exceptional strength amid broader volatility in the crypto market. Analysts…

July 5, 2025