Ethereum (ETH) Network Launches Mekong Testnet, Preparing for Pectra Upgrade in Q1 2025

The research and development team on the Ethereum (ETH) network has launched the first short-lived testnet for the upcoming Pectra upgrade dubbed the Mekong.

The Ethereum (ETH) network has launched the first short-lived testnet for the upcoming Pectra upgrade, named Mekong after the river in Asia. The testnet will feature all the Ethereum Improvement Proposals (EIPs) included in the Pectra fork.

The launch of the Mekong testnet is a sign that the next major Ethereum network upgrade is on the way. After the Dencun upgrade reduced fees on layer two solutions, the Pectra upgrade will further enhance web3 development on the Ethereum network, which is the leading smart contract chain.

As of this writing, the Ethereum network has a total value locked (TVL) of about $53 billion and a stablecoins market cap of over $87 billion. However, the Ethereum network faces stiff competition from the Solana (SOL) network, which has around $6.6 billion in TVL and about $3.7 billion in stablecoins market cap.

The Ethereum network is still a major gateway to the mainstream adoption of real-world assets (RWA) tokenization and web3 development by institutional investors. As a result, the Mekong testnet and the Pectra fork will play a crucial role in the overall adoption of Ether-based web3 products in the near term.

Meanwhile, Ether’s price against the US dollar has gradually gained bullish momentum amid the resounding victory of pro-crypto candidates in the recently concluded US 2024 elections, led by President-elect Donal Trump.

The large-cap altcoin, which has a fully diluted valuation of about $339 billion and an average daily trading volume of around $36 billion, pumped over 7% in the last 24 hours to retest a crucial resistance level of about $2,820 on Thursday during the early New York session.

A consistent close above $2,820 in the coming weeks will push Ether’s price toward its all-time high like Bitcoin (BTC).