$ETH on-chain - sending strong signals 📡

While the technical market structure for $ETH continues to be bullish, to get the best perspective, it's crucial to assess fundamentals as well.

Aside from a notable outflow of $ETH from exchanges, an interesting trend is developing  - the number of validators exiting the network is increasing week by week.

💡 The trend is evident: anticipating the continuation of a market rally investors prefer liquidity to locking assets in staking.

Now, how does this impact ETH? Due to the decrease in the number of active validators, the emission rate has dropped to 0.5%. At the same time, high network activity led to burning within EIP-1559 has surged by 621%.

For the first time post-hard fork, $ETH has shifted from net inflation to deflation and is sustaining this trend - the circulating supply is consistently decreasing.

👨🏻‍🎓 Once again, we encounter this core economic principle: Decreased supply + Increased demand = Upside. #ETH #ethereum