Is holding Ethereum in the fourth quarter far from profitable? These measurements suggest…

  • Ethereum has turned inflationary as network provisioning fees fail to rise
  • Network Validators Stay True to Their Duty to Avoid Lowering Events During ETH Consolidation

Ethereum [ETH] the quest for profitability took another sour turn as it reverted to an inflationary condition after a few attempts at the opposite. According to Token Terminal, the daily revenue from the decentralized blockchain over the past 365 days showed very low value.

Hence, indicating that network gains were almost non-existent. By inflationary, this meant that Ethereum on-chain transactions on the network were extremely low. Thus, it has also become difficult for Ethereum to record increases in gas fees.


Lily Ethereum [ETH] Price prediction 2023-2024


Amidst the aforementioned events, Token Terminal also revealed that it had assigned Ethereum revenue which has fallen 4.7% in the past 24 hours. Same as supply side fees which have seen a decline of 5.3% over the same period.

Don’t trust the process?

The supply section was not the only one affected in the Ethereum blockchain. According to Glassnode, interest in funding the options market also faced roadblocks. At press time, data from the on-chain platform showed options volume across all exchanges was $71.52 million.

This value was a clear decrease from supply for most of November. After the dip, this implied that open contracts for Ethereum weren’t impressive. It also implied that traders did not trust the altcoin enough to execute trades in their favor.

Source: Glassnode

In addition, not all parts of the network were sewered. For some like the number of slashing events, it was a time to lend a helping hand to the network. As of this writing, Ethereum reduction in the number of events sucked despite the mess a few days after the Merge.

At ground zero, this implied that there had been fewer instances of invalid blocks being offered. There have also been no cases of verifying an invalid fork to the Ethereum blockchain. Thus, there was little concern about the health of the network because the behavior of the validator was not messed up.

Number of Ethereum reduction events

Source: Glassnode

ETH, and you?

As for the price of ETH, it was able to hold above the $1,000 region. Based on CoinMarketCap data, ETH was trading at $1,255 at the time of writing. This value illustrated a decline of 2.10% in the last 24 hours, as was the case for many cryptocurrencies.

Also, ETH was less likely to break out of the current zone in the near term. Indeed, the four-hour chart showed that the altcoin was far from extremely volatile, as indicated by the Bollinger Bands (BB).

In terms of the Moving Average Convergence Divergence (MACD), ETH’s momentum has been broadly bearish. At a MACD value of -6.46, this might require an overall harmony for the buyers to reverse.

Ethereum Price Action

Source: Trading View

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