Cryptocurrencies have retreated from yesterday's euphoric sentiment, although Bitcoin is still holding above $22,000 and Ethereum is holding $1,700 as support:
- Institutions are interested in Ethereum due to the growing popularity of the cryptocurrency, whose futures volume has reached more than $1 trillion, close to the capitalization of the entire cryptocurrency market;
- CME Group has made Ethereum options available for trading. Fidelity Investments plans to make Bitcoin trading available to clients on its trading platform;
- The Ethereum Merge is expected to take place as early as between September 14 and 15. Below we will present three charts showing on-chain network activity in the Ethereum Beacon (PoS) chain.
The chart shows the historical emergence of the so-called Genesis block of the Beacon chain where investors can deposit their Ether from November 2020 to eventually participate in the Ethereum Merge. To do so, a minimum of 32 Ether must be deposited, which at current ETH prices gives an amount in the vicinity of $50,000. Reserves of tokens accumulated in this way will be possible to liquidate (move out of the chain and sell) by validators only in about 6 to 18 months after 'The Merge' so at the earliest in the first half of 2023 - this will be made possible by an upgrade called Shanghai. We can see that the surge in Ether occurred only a few weeks after the launch of the chain. Source: Glassnode
The amount of Ether deposited in the Beacon chain is at historic highs. The total amount of deposits of 32 ETHs in the Beacon chain, which will become a tool of the network's validators in the future, amounts to more than 418,000. This number does not equate to the sheer number of validators because exchanges like Binance, Kraken or giant stETH operators like Lido obviously operate multiple nodes. Validators will replace the miners that currently compete in the energy-intensive process of 'mining' each other's computing power and validate a transaction on the Ethereum network. The switch to Proof of Stake and the launch of the so-called difficulty bomb will make 'Ethereum mining' unprofitable and freeze the supply of cryptocurrency. Source: Glassnode
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Create account Try a demo Download mobile app Download mobile appEthereum chart, M30 interval. The token has settled below the 200-session moving average on the half-hourly interval. The RSI has cooled and is just above 53. A potential re-entry of the price above $1730 could herald another significant upward move. On the other hand, risk aversion ahead of the US inflation reading could keep the token below its 200 SMA. Source: xStation5
