Try Quests to earn cryptoETH Merge: Selling Event?
Was the Merge a selling event? Why or why not?
METHODOLOGY
✔️Was the merger a sales event? Were the miners the source of the selling pressure? We did research to find answers to them.
✔️ I use ethereum.core.fact_transactions and ethereum.core.ez_eth_transfers table.
✔️ First, I explained ETH Merge.
✔️ Then I reviewed ETH Merge, Price of ETH, ETH Swap Transactions on DEXes, ETH Swap Amount on DEXes, ETH Transfers from Miners Wallets, Comparison of the ETH transfer of Miners and Others, Comparison of the ETH Swaps of Miners and Others, and Miners Effect.
ETH Merge
On Sept. 15, Ethereum switched from using energy-intensive technology to a more sustainable system in a major update called "the merge." In the hours following the merge, the price of Ether, or ETH — the platform's native cryptocurrency — held relatively steady. Nine hours following the merge, it was down just 5% compared to the price at the time of the transition.
With the implementation, blocks of new transactions went from being verified by computers solving massively difficult math problems to a system that uses financial incentives and penalties to accomplish the same task.
> # 🔎Observation
Swaps from ETH to other assets are far more significant than those from other assets to ETH in terms of volume.
There was a sudden increase in the volume of swaps from ETH on September 16, one day after Merge. However, after that, the volume of swaps is unchanged after the Merge and is the same before and after.
Also, we can see a decrease in the volume of swaps from ETH transactions after the Merge, so the difference between swap to and from ETH volume is smaller for the after Merge period.
> # 🔎Observation
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> ## We can see that ETH transfers from miners’ wallets had a peak during the Merge, but after that, the amounts of ETH transfer decreased significantly, so it is negligible compared to before the Merge period.
> # 🔎Observation
Just like the ETH transfer chart, we can easily notice that the miners have a small proportion of all ETH swaps compared to other users; hence they cannot significantly affect the price of ETH and are not held responsible for the decline.
When we compare Miners and Other users using the total chart of swaps from/to ETH across all DEXes, we see that the other users are almost responsible for 100% of swaps during September.
> # 🔎Observation
When we examine the graphs above, for the first graph;
ETH price and the amount miners swap from ETH have a weak relationship as the number of miners swaps increases, ETH price drops For the second graph; There is no relationship between miners' ETH transfers and ETH price, so we can say that the effect on ETH price is negligible.
RESULT
✔️It is obvious that the price of ETH fell following the Merge. However, this was not caused by miners.
✔️Miners ETH transfers surged during the Merge, but there was a sharp decline afterward.
✔️All markets were in decline during the Merge, and there was no discernible connection between the merge event and Ethereum users' and especially miners’ selling behavior.
