As we approach one of the biggest events in cryptocurrency’s short history, the Ethereum Merge, there are many indicators that suggest increased activity in this space.
ethereum name service
The first was Ethereum Name Service (ENS), which had the third highest revenue in August. For the first time, he has 34,000 accounts registered with the service, which has generated $4.3 million in revenue.
ENS August 2022 Stats
– 301K new .eth registrations (2.17 million total names)
– $4.7 million in protocol revenue (all from @ENS_DAO)
– Earnings of 2,744 ETH (3rd highest month)
– 34,000 new eth accounts with at least one ENS name (540,000 total)
– >99% of OpenSea domain volume pic.twitter.com/utU8i4cBMT
— ens.eth (@ensdomains) September 1, 2022
These names are a great feature of Ethereum. Instead of giving someone a long Ethereum address, you can give them a simple name ending in .eth. For example, harrypotter.eth. This name can be associated with your wallet. So that’s all you need to specify when requesting payment. Simple and intuitive.
The growing number of registrations for these names shows that people are positioning themselves for the merge, which is set to go live on September 15th.th.
Bet 13 million ETH
The amount of ETH locked up in staking contracts is currently up to 13 million ETH, which is around 11% of the total supply. At the current market price of $1,635, more than $21 billion of Ethereum is locked in staking contracts.
The important thing to note here is that Merge does not enable this ETH withdrawal. I’ve speculated before as to whether the flood of ETH into the market post-merger could put downward pressure on prices. It’s been locked for a long time.
However, investors will not be able to withdraw ETH until another upgrade is implemented. This he does not plan from 6 months to 1 year later. This should dull concerns about supply and demand levels as the merge goes live. There are also liquidity staking alternatives. This means that liquidity has never been completely absent.
And it’s only been two weeks since I’m writing this. The big question remains whether this will be a “buy the rumor, sell the news” type of event or if Ethereum will betray it.
My thoughts at the moment are simple. As for short-term price action, I think the macro environment is much more important now, with inflation spiking. Federal Reserve hawks and a tense geopolitical environment still drive the overall market.