The Ethereum blockchain has not yet seen a significant increase in activity despite the successive upgrades, said investment bank JPMorgan (JPM) in a research report.
“Neither the number of daily transactions nor the number of active addresses have seen an increase in equipment after recent upgrades,” the analysts led by Nikolaos Panigirtzoglou wrote in the Wednesday report.
However, the total locked value (TVL) on Ethereum increased between the upgrading of Dencun in March 2024 and Pectra earlier this month, noted the bank, perhaps due to the increase in loans and borrowing on
token.
Ethereum activated Pectra upgrade on May 7. The update aims to rationalize strage, improve the functionality of the portfolio and improve global efficiency.
Pectra makes the Eth and Ethereum token itself more attractive for the institutions, said the bank. It distinguishes the network from competitors, but upgrades have not increased activity significantly.
The bank noted that after the Dencun upgrade, average and total costs fell, partly due to a change to layer 2 chains.
Ether’s supply in circulation has also increased after Dencun, which raised concerns about the crypto “becoming an active inflationary in the middle of the moderate transaction activity,” said JPMorgan.
The long -term positioning suggests that institutions have played an important role in the recent gathering in ether, added the report. Ether increased by more than 45% in the last month, according to Coindesk data.
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