Ethereum's EIP-1559 burns ~1-2 ETH daily, creating deflationary pressure during high network usage.
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DeFi protocol adoption measures user engagement, liquidity, and ecosystem relevance. High adoption suggests strong trust, network effects, and sustainable growth, while low adoption indicates risk or inefficiency. Analysts track metrics such as TVL, active wallets, transaction counts, and cross-chain interactions to gauge usage trends. Adoption patterns reveal emerging leaders, highlight competitive positioning, and indicate potential investment opportunities. For researchers, monitoring adoption allows for forecasting growth trajectories, risk assessment, and informed strategic positioning. Understanding protocol adoption also provides insights into community commitment, capital flows, and long-term market resilience.
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Hash rate trends reflect network security and miner confidence. Rising hash rates typically signal miner optimism and investment in hardware, while sharp drops may indicate stress from low profitability or regulatory crackdowns. Post-halving, some miners may shut down older rigs, causing temporary hash rate dips. Long-term hash rate growth supports network stability, making Bitcoin more resistant to attacks and improving investor confidence in its security model.
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