Cryptoquant’s analysts reported that, unlike past cycles, now the restoration of the price of the broadcast can restrain three factors: high pressure from the supply, weak demand and low network activity.
Cryptoquant noticed that the overall offer of ether is growing again and reached a new historical maximum – over 120.7 million coins. According to the analysts of the platform, this is a departure from the deflation of the narrative and the return to the inflationary issue of the second in capitalization of cryptocurrency.
“Dencun update significantly reduced the commission for transactions, which led to a drop in the rate of burning of the broadcast to almost zero and again launched an increase in the proposal. A decrease in the cost of transactions weakened the monetary policy of the asset. This is a fundamental structural change, so the return to deflation dynamics in the short term is unlikely, ”analysts said.
They said that activity in the Ethereum network remains stable since 2021, and indicators such as the number of transactions and active addresses do not show rapid growth.
The interest of investors in the air is reduced, the amount of assets in stakeing falls. This indicates a decrease in trust from the community and traditional investment funds, Cryptoquant experts emphasized.
Earlier, the analysts of the Santiment platform said that the average commission for the transaction in the Ethereum network fell to $ 0.168, which became historically the lowest level of operations of operations since May 2020.
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Source: Cryptocurrency
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