The Ethereum Pectra upgrade is set to advantage several Layer-2 tokens, notably Arbitrum, StarkNet, Mantle, Aevo, and Fuel. These tokens could see improved functionality and scalability, despite recent price corrections. Each token presents unique opportunities for growth aligned with Ethereum’s developing infrastructure, making them worthwhile watches in the evolving crypto landscape.
Fast Summary: The Ethereum Pectra upgrade is changing the game for Layer-2 tokens. Five tokens to keep an eye on are Arbitrum (ARB), StarkNet (STRK), Mantle (MNT), Aevo (AEVO), and Fuel (FUEL). They stand to gain significantly from reduced costs and new features, despite recent price drops. With the right momentum, they might rebound and see price improvements in the coming weeks.
Arbitrum (ARB) is positioned nicely with the Pectra upgrade enhancing blob space and efficiency in data handling. This could lead to lower Layer 1 fees, which is great for scaling. Moreover, EIP-7702 introduces smart accounts that allow for gasless transactions, making it easier for developers and users. However, ARB has dropped over 6% lately, and if it continues to slide, it may test $0.292 as support, or even go lower to $0.27. If ARB finds its footing, the first resistance level is $0.315, with further upside possible up to $0.363.
StarkNet (STRK) is also in a good spot thanks to the upgrade. Improvements in data availability mean cheaper and more scalable transactions, vital for its zk-rollup functionality. The new EIP-7002 allows validators greater flexibility, which might support the future of staking and liquidity movements. Recently, STRK has taken a hit, falling by over 13.5%. If the trend continues, it might hit $0.116. On the other hand, should momentum shift, watch for resistance at $0.136, which could lead to attempts at breaking $0.15 and beyond.
Moving on to Mantle (MNT), the upgrade could also provide indirect boosts. With changes in validator staking limits from EIP-7251, executing large-scale staking operations becomes easier, beneficial for Mantle. The growth of blob space could lower data costs further for its rollups and Layer 2 capabilities. Currently, MNT has formed a death cross and is down by 2.6%, with $0.68 being a critical support level. If things turn positive, the first resistance to observe is $0.72, where a successful break could lead to $0.759 or higher.
Aevo (AEVO), known for its derivatives platform, may find opportunities with the lower data fees from Pectra. This means quicker and cheaper trades, especially vital in a high-volume environment. Smart accounts from EIP-7702 could enhance user experience by facilitating gasless trades. AEVO is struggling lately and has dropped close to 12%, near the critical $0.10 mark. If it falls below $0.096, it might see deeper declines, while a recovery above $0.107 could push it towards $0.121.
Lastly, Fuel Network (FUEL) is well-suited to capitalise on the Pectra developments. The reduced posting costs allow better scalability without sacrificing decentralization. EIP-7702’s smart account functions also mesh well with Fuel’s focus. While FUEL has had strong EMA lines, it hasn’t managed to surpass the $0.012 barrier. If this resistance breaks, targets will be $0.0129 and $0.014. However, if it drops below $0.010, keep an eye on $0.0084 and $0.0077 next.
