Ethereum remains the most-used chain in the blockchain industry, correlated with the magnitude of the fees that attract more miners from all over the world, with the increasing activity of decentralized apps and the continually expanding popularity of key NFT projects.
At the time of writing, Ethereum’s hashrate has risen to 812,768 GH/s. Despite the fact that the EIP-1559 upgrade abolished fees for miners, they may still make a lot of money by exploiting newly added tips that network users use to get their transactions through during times of high network demand.
The increased network activity on Ethereum has piqued the curiosity of miners. Miners can earn more fees as the network grows in popularity. In addition to network activity, the fee-burning method has a favourable impact on the asset’s price, which has climbed by 33% since EIP-1559 was implemented.
According to Statista, the abolition of mining fees has had no substantial impact on Ethereum mining. The initial decline in USD income only lasted a few days after the upgrade was implemented, however because of the price increase, miner profit in USD rebounded to pre-EIP levels.
Normally, a quickly growing hashrate is a bad indication for the market since it means more supply is accessible, but according to on-chain statistics, miners aren’t selling their assets just yet.
Exchange reserves are still being depleted, while miners’ wallets display only inflows, with almost no cash moving to exchanges. The lack of selling power is most likely due to the current market environment, which is exceptionally favourable.