Ethereum Testnet Burns 88K ETH in Preparation for EIP-1559

[Fawpac2]

Ethereum’s London hard fork launched on the Ropsten testnet on June 24 in preparation for the mainnet rollout in July.The upgrade will usher in the implementation of the highly anticipated EIP-1559 modification that will adjust the Ethereum transaction fee calculation mechanism.The next phase in the London hard fork rollout is deployment on the Goerli testnet which is scheduled for June 30. Following that, it will be launched on the Rinkeby testnet on July 7 and then mainnet later in the month.Part of the EIP-1559 mechanism, aside from changing the fee auction structure, is to burn the “base fee” which will make the Ethereum economy deflationary over time.A website called Watch The Burn has been set up to see this in action. At the time of press, 88,483 ETH had been burned on the testnet. This is equivalent to around $177 million at current prices.Ethereum software solutions firm ConsenSys estimates that the annual supply change will be minus 1.6 million ETH. At current prices, this equates to the burning of $3.2 billion in ETH which will reduce the annual supply rate by 1.4%.Source

[Alcor]

Well, this is the real way for ethereum prices to go up steadily. Considering other functional improvements of the ethereum network, the capitalization and the level of price dominance of this coin will increase and even, according to forecasts, by these indicators it may bypass Bitcoin. However, I do not yet understand why the price of ethereum has now dropped much lower than the price of bitcoin. But everything can change within a few days.