Ethereum is experiencing the longest inflation period ever
Ethereum is undergoing the longest inflation period since the The Merge event in 2022, starting from mid-April 2024. The main reason is attributed to the Dencun upgrade in March 2024, specifically EIP-4844, which introduced "blobs" that help reduce transaction fees on layer 2s, leading to a significant decrease in the amount of ETH being burned. More than 112,000 ETH has been added to the total supply since April 14, and this trend shows no signs of stopping. Although the total supply of ETH remains lower than before The Merge due to the previously burned ETH, the current inflation period has lasted over 73 days, raising concerns about its impact on the future value of ETH. However, it should be noted that the current inflation rate is still relatively low, and the future of Ethereum will depend on the success of upcoming upgrades and the development of the ecosystem.