DailyBubble News
DailyBubble News

Ethereum whales anticipate a bull run in coming months, ETH no longer ‘ultrasound money’

Ethereum’s ‘ultrasound’ money narrative is potentially at risk following the Dencun upgrade, according to a report by CryptoQuant. The upgrade, which took place in March, has led to Ethereum becoming inflationary. Prior to the upgrade, the network was burning gas fees at a significant rate, resulting in a reduction in the growth of Ethereum’s circulating supply. However, since the Dencun upgrade, the amount of gas fees burned has decreased, leading to concerns about Ethereum’s ‘ultrasound’ money narrative.

In response to concerns raised about EIP-3074, Ethereum co-founder Vitalik Buterin and co-authors have proposed EIP-7702 as an alternative. EIP-7702 introduces a new transaction type that allows externally owned accounts (EOAs) to temporarily act as smart contracts during a transaction. This proposal aims to address issues with EIP-3074 and improve compatibility with the ERC-4337 standard for smart contract wallets.

The Ethereum Foundation has also been making transfers of ETH, leading to speculation within the crypto community. Additionally, Ethereum’s technical analysis suggests that the cryptocurrency may be gearing up for a bullish run as derivatives volume has increased. The market is currently awaiting the Securities & Exchange Commission’s decision on Van Ecks’ spot ETH ETF application on May 23, which may impact Ethereum’s price movement.

Looking ahead, the Ethereum community is anticipating the Sharding upgrade after the Merge, which is expected to enhance the scalability of the blockchain. Furthermore, EIP-4844 is an improvement proposal for the Ethereum network that aims to reduce gas fees and increase transaction speed. Additionally, the concept of gas token allows users to tokenize gas on the Ethereum network, providing a way to store and utilize gas efficiently.

Overall, Ethereum’s recent developments and upgrades indicate a dynamic and evolving ecosystem that continues to attract attention and interest within the crypto community.

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