Since the merge of Ethereum (ETH) has been awaited with bated breath by the crypto community, the network’s speculative action has skyrocketed.
Market insight provider Glassnode explained:
“Ethereum speculative action continues, with over $6.12B in outstanding Open Interest for Call Options. Put options account for a much smaller $1.5B, making for a Put/Call Ratio of 0.25.”
Source: GlassnodeCall options are for buying, while put options are for selling. Hence, based upon open interest being shown in the ETH Network, buying pressure outweighs selling thanks to the eagerly awaited merge event slated September 15.
The merge is unlikely to happen for some time, but it is the most significant software update in the Ethereum ecosystem. This will be because it will transform the consensus mechanism (from proof-of work (PoW), to proof-of stake (PoS).PoS).
Therefore, various experts and institutions believe this event will heighten Ethereum’s quest to be a deflationary asset.
Blockchain.News reported that Citigroup or Citi, the American multinational investment bank Citigroup, pointed out recently that the merger would cut the Ether issuance overall by 4.2% annually.
The merger seems to have made Ethereum an asset that needs to be closely watched, as the monthly transaction volume has reached its highest point. Glassnode stated that:
“Ethereum Transaction Volume (7d MA) just reached a 1-month high of 80,910.738 ETH. Previous 1-month high of 80,814.148 ETH was observed on 02 September 2022.”
Source: GlassnodeThe number of Ethereum addresses has increased dramatically, indicating that Ethereum address activity is on the rise. holding Recording an 18-month high of more than 100 Ethereum
Source: GlassnodeAccording to ETH, intraday trading saw a 6.7% increase in ETH to reach $1,622 (increase of 6.7% over the past 24 hours). CoinMarketCap.
After the Bellatrix upgrade, the ball is already rolling for the merger. We will see how the second largest cryptocurrency performs after that event.
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