Ethereum's transaction fees have dropped to a 2-year low following the Dencun upgrade, boosting network activity, while Bitcoin faces challenges with miner revenue and increased BTC sales.
Key Insights
Price Dips: Both Ethereum and Bitcoin have experienced significant price declines recently.
Ethereum Fee Reduction: Ethereum's transaction fees have hit a 2-year low, likely due to the extensive Layer 2 adoption post-Dencun upgrade.
Inflationary Concerns: The reduced fees have resulted in a lower Ethereum burn rate, making the cryptocurrency slightly inflationary.
Increased Activity: Despite the decreased burn rate, the lower fees have led to a bullish spike in Ethereum's active addresses, reaching a 3-month high.
Bitcoin Miner Challenges: Bitcoin's miner revenue per terahash per second is at a two-month low, which could be bearish for the cryptocurrency.
BTC Sales by Miners: Bitcoin miners have sold a substantial amount of BTC in the past month, exacerbating the bearish sentiment.