Modern تعديل المشاركة The lower Ethereum falls right now, the more forceful the subsequent rip in the post-merge era will be | FRESH NEWS mode 01 December 2022 (0) The lower Ethereum falls now, the stronger the subsequent tear in the post-merger era Ethereum (ETH) has fallen nearly 22% from its Aug. 13 high of $2,021 amid a reversal of the previous animal spirits that dominated much of the risk-asset space amid expectations of a dovish Fed turn. With the advent of meme stock mania 2.0 Already losing momentum, coupled with an absolutely brutal German PPI print, which points to the possibility of rising structural inflation for the foreseeable future Ethereum is currently undergoing a price correction which sets the stage for an even more outlandish tear post-merger stage. Investors and cryptocurrency speculators generally believe that Ethereum’s merger event will significantly reduce the network’s energy use, and that any price gains will be attributable to the resulting ESG-related inflows. However actually the combine event will provide two key sources The built-in tailwind is expected to deliver big gains for the world's second-largest cryptocurrency by market capitalization.Ethereum's merger event will create a built-in tailwind for the cryptocurrency's price dynamicsCurrently, Ethereum is governed by a proof-of-work (PoW) system, where miners authenticate and then incorporate transactions into the Ethereum blockchain in exchange for rewards denominated in ETH. The merger would move ethereum to a proof-of-stake system, in which validators lock up a specific amount of ether in dedicated nodes and compete against each other to validate transactions and add new blocks to the chain. Validators will no longer need to perform energy-intensive encryption Calculations are performed as in the case of the PoW regime.This element provides Ethereum with its first significant tailwind. The PoS system is much more efficient, reducing energy costs by 99% compared to current levels.Source: https://cryptonews.com/exclusives/how-the-ethereum-merge-could-impact-staking-yields.htm Before we move on, let’s talk a little bit about how Ethereum’s validator payouts will be calculated in the post-merge phase. The paragraphs above mentioned a number of factors that combine to determine how much incentive each validator will receive to ensure the smooth functioning of the network. After the London fork, the base cost of a certain level of network activity is determined. This base cost is then consumed. Therefore, in the post-merge phase, validator rewards will mainly consist of two variables: Tips, which are the costs users incur for prioritization Processing of certain transactions and a block subsidy fixed at 2 ETH per block, which will be distributed equally among all validators.As the network becomes more efficient in the post-merger phase, transaction processing incentives are expected to drop sharply, meaning a lower rate of new supply additions. Regardless, Ethereum validators are expected to see an increase in staking revenue.Additionally, at current price levels, Ethereum miners are selling a significant portion of their mining revenue to cover the cost of maintaining expensive mining equipment. This equates to about $18 million in selling pressure per day. The merger will reduce these energy bills by 99%. This means that validators will no longer be forced to sell their Ethereum rewards to pay fees. Additionally, staked ETH will be frozen until the Ethereum 2.0 transition is complete. Even considering strong staking returns Outflows under this heading are expected to remain modest.According to one estimate, daily selling pressure from miners/validators will drop from 10,800 ETH to 200 ETH. This brings us to the crux of the matter. The combination of these two variables is expected to have a profoundly deflationary effect on Ethereum. In fact, Ethereum’s annual token supply is expected to drop by 90% in the post-merger period, from 5.5 million ETH per year to just 0.6 Millions of ETH per year. In comparison, this reduction is equivalent to Bitcoin halving more than 3 times at a time! These supply dynamics are summarized in the excerpt above. As you can see, Ethereum faced an inflationary supply increase of 2.5% per year during the pre-consolidation phase. However, in the post-consolidation era, the total supply of Ethereum will see a deflationary decline of -1.6% per year. This creates an important fundamental boost for the cryptocurrency.The lower Ethereum is now due to these supply mismatches, the stronger the price push in the post-consolidation phase.Bitcoin cryptocurrency ETH ethereum Print September 3, 2022 nullnull فيسبوك تويتر بنترست واتساب ريدايت لينكدين Modern ردود الأفعال: أخر المواضيع من قسم : Modern Comments
The lower Ethereum falls now, the stronger the subsequent tear in the post-merger era Ethereum (ETH) has fallen nearly 22% from its Aug. 13 high of $2,021 amid a reversal of the previous animal spirits that dominated much of the risk-asset space amid expectations of a dovish Fed turn. With the advent of meme stock mania 2.0 Already losing momentum, coupled with an absolutely brutal German PPI print, which points to the possibility of rising structural inflation for the foreseeable future Ethereum is currently undergoing a price correction which sets the stage for an even more outlandish tear post-merger stage. Investors and cryptocurrency speculators generally believe that Ethereum’s merger event will significantly reduce the network’s energy use, and that any price gains will be attributable to the resulting ESG-related inflows. However actually the combine event will provide two key sources The built-in tailwind is expected to deliver big gains for the world's second-largest cryptocurrency by market capitalization.Ethereum's merger event will create a built-in tailwind for the cryptocurrency's price dynamicsCurrently, Ethereum is governed by a proof-of-work (PoW) system, where miners authenticate and then incorporate transactions into the Ethereum blockchain in exchange for rewards denominated in ETH. The merger would move ethereum to a proof-of-stake system, in which validators lock up a specific amount of ether in dedicated nodes and compete against each other to validate transactions and add new blocks to the chain. Validators will no longer need to perform energy-intensive encryption Calculations are performed as in the case of the PoW regime.This element provides Ethereum with its first significant tailwind. The PoS system is much more efficient, reducing energy costs by 99% compared to current levels.Source: https://cryptonews.com/exclusives/how-the-ethereum-merge-could-impact-staking-yields.htm Before we move on, let’s talk a little bit about how Ethereum’s validator payouts will be calculated in the post-merge phase. The paragraphs above mentioned a number of factors that combine to determine how much incentive each validator will receive to ensure the smooth functioning of the network. After the London fork, the base cost of a certain level of network activity is determined. This base cost is then consumed. Therefore, in the post-merge phase, validator rewards will mainly consist of two variables: Tips, which are the costs users incur for prioritization Processing of certain transactions and a block subsidy fixed at 2 ETH per block, which will be distributed equally among all validators.As the network becomes more efficient in the post-merger phase, transaction processing incentives are expected to drop sharply, meaning a lower rate of new supply additions. Regardless, Ethereum validators are expected to see an increase in staking revenue.Additionally, at current price levels, Ethereum miners are selling a significant portion of their mining revenue to cover the cost of maintaining expensive mining equipment. This equates to about $18 million in selling pressure per day. The merger will reduce these energy bills by 99%. This means that validators will no longer be forced to sell their Ethereum rewards to pay fees. Additionally, staked ETH will be frozen until the Ethereum 2.0 transition is complete. Even considering strong staking returns Outflows under this heading are expected to remain modest.According to one estimate, daily selling pressure from miners/validators will drop from 10,800 ETH to 200 ETH. This brings us to the crux of the matter. The combination of these two variables is expected to have a profoundly deflationary effect on Ethereum. In fact, Ethereum’s annual token supply is expected to drop by 90% in the post-merger period, from 5.5 million ETH per year to just 0.6 Millions of ETH per year. In comparison, this reduction is equivalent to Bitcoin halving more than 3 times at a time! These supply dynamics are summarized in the excerpt above. As you can see, Ethereum faced an inflationary supply increase of 2.5% per year during the pre-consolidation phase. However, in the post-consolidation era, the total supply of Ethereum will see a deflationary decline of -1.6% per year. This creates an important fundamental boost for the cryptocurrency.The lower Ethereum is now due to these supply mismatches, the stronger the price push in the post-consolidation phase.Bitcoin cryptocurrency ETH ethereum Print
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