It has become challenging for miners to expand their operations as the schedule of an Ethereum merge becomes uncertain in the near term.
A difficulty bomb is a computer program in the Ethereum blockchain that aims to regularly increase the complexity of mining ETH. Developers have repeatedly delayed the merger, causing many problems for Ethereum mining organizations.
Since 2017, deployment has been delayed for six occasions. The next difficulty bomb plan has recently been scheduled for August.
See Ethereum Miners Earnings Drop
According to research by Cryptoquant, the Ethereum hash rate is down 10% as the recent earnings drop.
This pattern may continue in the coming years if demand eases, as had been predicted. The value of ETH has dropped below $900 from a high of $3,500 just three months ago.
Ethereum merger is a long-awaited protocol upgrade. The merger creates a whole new Proof-of-Stake (PoS) consensus process, which replaces the old Proof-of-Work (PoW) system. Miners find additional blocks and add them to the blockchain network in the process.
Exchange has decreased inflow
Ethereum is currently changing hands at $1,142.18, up 5.20% over the past 24 hours, according to data from Coincodex.
The total flow on the exchanges is minimal compared to the 7-day trend. This is a major signal for investors anticipating additional falling prices. A short investment can also be seen as a short sale.
Furthermore, the ETH Fear and Greed Index is a matter of serious concern. Perhaps this would mean that the price of Ethereum is now widely expected to decline in the coming days.