Try Quests to earn cryptoETH Merge: Selling Event?
Introduction:
The Ethereum Merge is slated for Sept. 15, which will see the Ethereum blockchain move from its current proof-of-work (PoW) mining consensus to proof-of-stake (PoS).
The Merge is being touted as one of the biggest upgrades for the Ethereum blockchain as it would help the network move to a more energy-efficient way of verifying transactions and eliminate PoW mining completely.
IntoTheBlock believed that existing miners on the Ethereum network would suffer the most from the Merge. This is because they have invested huge finances into their mining hardware on the PoW network.
Miner outflows have spiked to a three-month high, and increased sell-off of large amounts of miner holdings is imminent if the forked ETHPoW chain fails to pick up. [1]
In this dashboard we will examine Was the Merge a selling event? and also we will check are miners affecting the ETH price or not.
Method:
In this dasboard, I used 4 sections Include:
General informations:
1-Swap from ETH and swap to ETH amounts
2-total amounts of ETH swaps before and after merge
3-ETH transfers from miner wallets before and after merge
4-Top 10 wallets that miners transfered their ETH to them
** \n swaps and transfers:**
1-ETH transfers of miners VS other users
2-Swap from ETH of miners and others
3-How much(percentage) of all swapped ETH dedicated to Miners over time
4-How much(percentage) of all transfered ETH dedicated to Miners over time
Correlations:
1-Swap from ETH of miners VS ETH price
2-ETH transfers of miners and ETH price
3-ETH price before and after merge
4-ETH price VS BTC price
Volatilities:
1-ETH price volatility before and after merge
2-ETH price volatility Vs BTC price volatility
3-Swaps from ETH volatility before and after merge
4-ETH transfers from miner wallets volatility before and after merge
** \n Miners VS others:**
1-ETH transfer amounts of miners VS other users
2-Swap from ETH amounts of miners and others
It is clear that the amounts of swaps from ETH to other assets are much more than swaps from other assets to ETH.
But the amounts of swaps before and after merge are the same and the merge has no effect on swaps volume.
We can see that ETH transfers from miner’s wallets surged at 14 and 15 September(during the merge) but after that, the amounts of ETH transfers decreased a lot. we can conclude that miners during the merge transferred their ETH .
and also we can see the 10 top wallets that miners transferred their ETH to them.
In these 2 charts, we can see the share of miners from all ETH transfers and all swaps from ETH to other assets.
It is clear that miners have a little share of all swaps and all ETH transfers and they can have little effect on ETH price and can’t have severe sell pressure on ETH price.
In these 2 charts, we can see the percentage of miner’s share of all swaps and all ETH transfers.
It is clear that after the merge the share of miner’s ETH transfers decreased a lot.
but the swap amount of miners after the merge increased and we can conclude that miners swapped their ETH to other assets after the merge.
There is a weak reverse correlation between swap from ETH of miners and ETH price and when the amounts of miners swaps increased the ETH price decreased.But there is no correlations between ETH transfers of miners and ETH price.and we can conclude that miners had a very little effects on ETH price
Well, It is clear that after the merge the price of ETH decreased. But by looking at the correlation of BTC and ETH prices we can see that all the markets went down during the merge and maybe that’s because of bad macroeconomics situations and not the merge event.
As we can see the volatility of ETH price before and after the merge are the same and there is no difference between the volatility of ETH price before and after the merge.
and it is interesting that the volatility of BTC are more than ETH!
and we can conclude that the merge itself has no effects on ETH price.
swap volatilities of miners are almost the same before and after the merge but the day after the merge the psotitive volatility of miners swaps increased but it came back to its normal situations.
ETH transfer volatilities of miners increased after the merge and that’s because miners are transferring their mined ETH to other wallets.
By looking at these 2 charts it is clear that miners had a very little share of all ETH transfers and swaps.and we can conclude that miners have no effects on ETH price.
Conclusion:
1-It is clear that after the merge the price of ETH decreased.but this is not because of miners.
2-It is interesting that the volatility of BTC is more than ETH before and after the merge.so we can conclude that the drop of ETH price is not because of the merge but also it’s because of the bad macroeconomics situations.
3-ETH transfers of miners during the merge increased but after the there is a huge drop of miner’s ETH transfers.
4-All the markets during the merge were in downfall and the selling pressure in ETH was not because of the merge or miners.
[1] : [2] :
Defenitions:
What is Ethereum 2.0?
Ethereum 2.0, also known as Eth2 or “Serenity,” is an upgrade to the Ethereum blockchain. The upgrade aims to enhance the speed, efficiency, and scalability of the Ethereum network so that it can avoid bottlenecks and process more transactions simultaneously.
WHAT IS ETHEREUM MINING?
Mining is the process of creating a block of transactions to be added to the Ethereum blockchain in Ethereum's now-deprecated proof-of-work architecture.
WHY DO MINERS EXIST?
In decentralized systems like Ethereum, we need to ensure that everyone agrees on the order of transactions. Miners helped this happen by solving computationally difficult puzzles to produce blocks, securing the network from attacks. [2]