What was The Merge?

The Merge was the joining of the original execution layer of Ethereum (the Mainnet that has existed since genesis) with its new proof-of-stake consensus layer, the Beacon Chain. It eliminated the need for energy-intensive mining and instead enabled the the network to be secured using staked ETH. It was a truly exciting step in realizing the Ethereum vision—more scalability, security, and sustainability.

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Methodology:

All the time charts show the last 90 days and the different times of Ethereum's POS process, which is the Merge event, are taken from their official website.

I used the Ethereum.core.dim_labels table to find the addresses of centralized exchanges. I have used the Ethereum.core.ez_eth_transfers table to transfer or stake Ethereum. With the table ethereum.core.fact_hourly_token_prices, I have shown the price changes of Ethereum. With the ethereum.core.fact_transactions table, I was able to calculate the paid fees of the network. And I used the Ethereum.core.fact_blocks table to research Ethereum blocks. I also used Aave and Uniswap classes and the tables inside that section for their parts.

Why do I consider WETH equal to ETH in my analysis?

The process of generating WETH digital currency is simple. Just send your Ethereum tokens to a smart contract. This smart contract will give you WETH in exchange for Ethereum. Thus, all RapidEthers created are fully backed by ETH reserves. Your Ethereum cryptocurrency will be locked in a smart contract, and you can exchange it back to WETH whenever you want. When your Ethereums are returned, the smart contract will automatically burn the supplied WETH cryptocurrency.

So to own WETH , you can directly interact with the WETH smart contract. This smart contract will take your ETH and top up your wallet with WETH at a 1:1 ratio. In this way, apart from the transaction fee, you do not need to pay any other fees. For the reverse conversion (converting Rapid Ether to Ethereum) you need to use another smart contract. But the process of transformation and exchange in both contracts is almost the same.

Observations:

• As you can see, these tables show that after the Ethereum crash, the trend of the Ethereum sake has been dramatically strengthened, and it is higher than the 90-day average in all markets, which is a sign of interest and confidence in the Ethereum stake.

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• Another interesting point that is clear is that after every update or every successful testnet, we have had a rise in the trend of the Ethereum stake, which is also a sign of people's interest. They seemed eager for Ethereum Stake, but they acted conservatively.

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• The next point that again shows the growth trend and enthusiasm for Ethereum stakes after Merge is that 26.2% of the total staked Ethereum with the amount of 292 thousand Ethereum was for the days after Merge, which until today is the whole day that this statistic It is considered excellent.

• An average of 12.3 thousand Ethereum has been staked every day for the past 90 days.

Observations:

• After the Paris update, and especially on the day of Merge Ethereum, the withdrawal of Ethereum from centralized exchanges has grown significantly and has recorded significant numbers.

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• It seems that this perception of exchanges, which has been more than Binance, has a direct relationship with Ethereum staking, and users withdraw their Ethereum from the exchange to stake.

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• an Daily average over the past 90 days 640,000 Ethereums have been withdrawn from exchanges.

• The amount of withdrawal of Ethereum after the exchanges during the last 90 days has been so high that considering that ten days have passed since the Merge of Ethereum, 14.5% of the withdrawal with a total amount of eight thousand and three hundred Ethereum is included.

Observations:

• As you can see, the price of Ethereum is decreasing steeply after Merge. But why did the price of Ethereum drop after Merge?

• From a technical analysis point of view Ethereum is still in a macro downtrend and is yet to break through an imperative resistance level of $1,711.

• The main reason that Ethereum has dumped recently is due to the ‘buy the rumor, sell the news effect. In the context of trading, a positive impact is expected following a protocol upgrade, the Ethereum Merge in this case. The price usually moves higher towards the date due to anticipation and hype but doesn’t have a positive price continuation afterward.

Observations:

In POS, hardware power is no longer critical. Therefore, the cost is cheaper due to the better performance and lower energy consumption. For this reason, it is expected that a transaction in the Ethereum network after Merge will allocate fewer fees on average.

• Has Ethereum been successful in this regard? The answer is absolute yes, after Merge, Ethereum has always been below its 90-day average, which is 0.0018 Ethereum per transaction, and the trend has moved towards reducing the cost per transaction.

• Observations: Compared to competitive proof of work currencies, proof of stake offers fast transaction times and supports higher transaction volumes. Has Ethereum succeeded in this measure? The answer is yes. After Merge of Ethereum, when Ethereum was converted to POS, this network could register a higher speed for its transactions. After Merge , the average difference in the time of creating a new block was less than 13.52 seconds, which is the average time of creating a new block in the network in the last 90 days.

In this section, the entry and exit of Ethereum are checked in a protocol, and the bigger the number, the more Ethereum exits.

Observations:

• We seem to have had relatively heavy withdrawals from Uniswap v3 pools after the Ethereum crisis, but when we look at the 90-day chart, these Ethereum withdrawals seem normal.

In this section, the entry and exit of Ethereum are checked in a protocol, and the bigger the number, the more Ethereum exits.

Observations**:**

• In the chart, the closer we get to the day of the merger, the withdrawal of Ethereum from the Aave market will decrease; maybe it is because of the news that Aave Stops Loaning Ether Ahead of the Merge and the possibility of not borrowing is the reason for the unusual low withdrawal of Ethereum from this platform.

Conclusion:

The withdrawal of Ethereum from the exchanges is increasing enormously, and on the other hand, the stake of Ethereum in Platforms has grown significantly after the More Ethereum withdrawals.

The timing between blocks has improved since Merge, and the network has become faster. Users pay fewer fees for transactions than in the past, and the price of Ethereum has been declining since Merge.