The Ethereum network burned more than 710,000 ETH, equivalent to more than USD 2.5 billion, thus heading towards deflation. The burn of Ether until October 31st amounted to 702,886, but it started on August 5th when the London hard fork update occurred.
The Ethereum network implemented the London hard fork update nearly three months ago. After that, the burn of more than 710,000 ETH, equivalent to more than USD 2.5 billion, has occurred.
On October 31st, journalist Wu Blockchain said via Twitter that the burn amounted to 697,591 ETH, more than USD 3 billion.
A report from OKlink indicates that the current burning rate on the Ethereum network is around 5 ETH/min. Meanwhile, the average burning value of a single block remains above 1.1 ETH.
Besides, the current annual supply of Ether is 5 million units, so the current burning rate involves more than 50% of the new amount available. If ETH 1.0 and ETH 2.0 merge successfully, the cryptocurrency will move towards deflation.
According to Dune Analytics, the Burn Amounts to More Than 710,000 ETH
Data from Dune Analytics indicates that the burn of Ether until October 31st amounted to 702,886. However, the burning had started on August 5th, when the Ethereum network implemented the London hard fork update and the EIP-1559.
At the time, the London hard fork included five different changes, of which the most transformative were the EIP-1559 and the EIP-3554.
The main burner is OpenSea’s NTF (non-fungible token) market, which burned more than 91,865 ETH. However, the third-largest is Uniswap V2, which destroyed 53,133 ETH.
The Ethereum Network Implements the New Altair Update
Ethereum recently implemented the Altair update to smooth the consensus process from Proof of Work (PoW) to Proof of Stake (PoS).
The Ethereum 2.0 Altair Beacon Chain started with the update of 98.7% of its nodes at the time. That event marked a step towards the merger between ETH 1.0 and ETH 2.0.
Tim Beiko, a developer of Ethereum, said the network is on its way to becoming a much faster, safer, more efficient, and more ecological blockchain. Besides, the Altair update is a crucial part of that transformation and evolution process.
He stated that Altair would allow developers to test new functions on the network. In that way, they would contribute to ensuring the merger between Ethereum 1.0 and Ethereum 2.0.
The Price of Ether Will Continue Rising, Experts Say
The predictions about the price of Ether usually depend on the staking of ETH 2.0 and the reduction of available supply. For that reason, many users of the cryptocurrency consider that its price at USD 5,000 is programmed.
Ethereum traders have expressed optimism about the cryptocurrency, which has not weakened even after the 9.5% correction it recently suffered.
A recent report from Finder reveals that 50 experts in financial technology expect the price of Ether to reach USD 5,114 in late 2021. They predict that the value of the second-largest cryptocurrency on the market will hit USD 50,788 at the end of 2030.
The price of Ether recently reached a new all-time high above USD 4,500, after rising by 4.01% in 24 hours. The cryptocurrency is trading at around USD 4,505 and has accumulated a 2.2% profit in the last week, according to CoinGecko.
By Alexander Salazar
