Ethereum is planning to take progressive steps towards being fully inflationary after it noticed seven consecutive days of negative disbursement.
The recent downside trend of Ethereum is because of the new London upgrade policy.
As per the market, the online transition of Ethereum 2.0 will fully lead to deflationary steps and mindset to the exchange network platform.
Ethereum is on a verge of making downwards trends recently, and showing an inflammatory side due to its significant negative supply distribution for the first week. While this may not be a positive picture of the network, it is just a small analysis of the upcoming future of Ethereum.
Ethereum have a good and prominent demand before, but for the first consecutive week, it had shown a deflationary issuance. This clearly means that there is less demand, which leads to less mining of Ethereum.
The deflation of the crypto was mainly due to the new policy laid down by the London fork which led to the depression of the network. Since execution, over $3 billion worth of Ethereum has been wiped out and as per the data from the Ultrasound Money 15000 ETH is been destroyed daily which is digging a hole of around $60 million as per the current prices.
Gas prices may have also led to the recent pessimistic trend of the asset. Recent data show the gas prices have risen surpassingly to the point that the average transaction cost on the network was over $50.
As per Anthony Sassano, co-founder of EthHub on the daily Gwei, a deflationary ETH was not something that was expected to happen until The Merge.
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