Ethereum (ETH) Supply Plummets Amidst Strong Network Activity

• The overall supply of ether dropped to its lowest level since August 2022.

• With a total of fewer than 1.12M ETH issued, almost 1.56M ETH has been burnt since Merge.

The pace of decrease in the ether supply is also at its quickest since May 2023. According to statistics from ultrasound.money, the supply of ether has been decreasing at a rate of 0.872% per year during the previous 30 days. To put that in perspective, the rate of decrease has been 0.246% since The Merge itself.

Dencun, the most recent update to Ethereum, went live on March 13. However, the overall quantity of ether was reduced significantly by the last high-profile upgrade, The Merge.

Cited by CNBC, data from CryptoQuant shows that the overall supply of ether dropped to its lowest level since August 2022 by mid-week. Not long after that day, Ethereum underwent its most monumental update to yet, rebranding itself as The Merge, which included switching from proof-of-work to proof-of-stake.

Surge in Network Activity

With a total of fewer than 1.12 million ether issued, almost 1.56 million ether has been burnt since The Merge. The result is a decline of around 446,000 ether, or over $1.62 billion at the current pricing, due to this.

Ethereum activity has continued to be significant, even while Solana network activity is mostly receiving attention. Near its 12-month peak established in January, the seven-day moving average of Ethereum network transactions is getting close. Moreover, it saw 1.26 million transactions earlier this week.

On the other hand, both the year-to-date and 12-month highs for Ethereum addresses are at unprecedented levels. According to statistics from earlier this week, there were around 540,000 active Ethereum addresses.

Comparably, both the YTD and 12-month highs have been reached in the number of new addresses on the Ethereum network. There were over 120,000 newly discovered Ethereum addresses on the network earlier this week.