- A new Cambridge study found Ethereum’s electricity consumption has fallen by 99.9% since transitioning to Proof-of-Stake.
- Researchers say Ethereum now consumes less electricity annually than the British Museum.
- Meanwhile, ETH continues battling key technical resistance as traders watch for the next breakout.
Ethereum’s transformation following The Merge continues to reshape one of crypto’s longest-running debates.
According to a recent report from the Cambridge Centre for Alternative Finance (CCAF), Ethereum has reduced its energy consumption by an astonishing 99.9% since abandoning its Proof-of-Work (PoW) mining system in favor of Proof-of-Stake (PoS) back in September 2022.
The findings highlight just how dramatically the network’s environmental footprint has changed in only a few years.
Ethereum Now Uses a Fraction of Its Former Energy
Researchers found that Ethereum’s continuous power demand has dropped to just 0.90 megawatts, a staggering decline from roughly 2.4 gigawatts before The Merge.
To put that into perspective, Ethereum’s electricity demand once rivaled that of a small country. Today, the network operates using only a tiny fraction of that power.
The Cambridge team examined approximately 8,522 full Ethereum nodes responsible for storing blockchain data and validating transactions across the network.
Their analysis estimates Ethereum now consumes roughly 7.87 gigawatt-hours of electricity each year—less than half the annual energy used by London’s British Museum.
The researchers even offered a striking comparison.
If Ethereum’s pre-Merge energy consumption were represented by the height of the Statue of Liberty, today’s network would be comparable to a golf ball sitting at its base.
Proof-of-Stake Completely Changed Ethereum’s Economics
Before The Merge, Ethereum relied on Proof-of-Work, the same consensus mechanism used by Bitcoin.
That system required miners around the world to operate powerful computers around the clock, consuming vast amounts of electricity in exchange for securing the blockchain.
Proof-of-Stake works very differently.
Instead of spending electricity to validate transactions, network participants lock up ETH as collateral. Validators are selected based on their staked holdings rather than computing power, drastically reducing the network’s energy requirements while maintaining security.
As the Cambridge researchers explained, electricity was effectively the cost of consensus under Proof-of-Work. Under Proof-of-Stake, security now comes from staked capital, while electricity is simply part of the operating costs associated with running validator nodes.
It’s a fundamental shift—and one that’s permanently changed Ethereum’s environmental profile.
Sustainable Energy Now Powers Most Ethereum Nodes
The report also examined where Ethereum’s validator infrastructure is located.
According to the researchers, the United States hosts roughly 31% of Ethereum’s full nodes, followed by Germany at 16%, Finland at 8%, and France at 6%. Together, those four countries account for nearly two-thirds of the network’s validator nodes.
Based on the electricity grids powering those regions, Ethereum now operates using an estimated energy mix of 56.4% sustainable sources and 43.6% fossil fuels.
As a result, Ethereum’s annual carbon emissions have fallen by approximately 99.98% compared to pre-Merge levels.
Researchers estimate the network now produces around 2.37 kilotonnes of carbon dioxide equivalent each year—roughly comparable to the combined annual carbon footprint of about 900 households in the United Kingdom.
They also noted that Ethereum’s environmental impact could continue shrinking over time, even if electricity usage remains relatively stable, simply because many national power grids are gradually becoming cleaner.
Ethereum Price Faces Important Technical Test
While Ethereum’s environmental story continues improving, traders remain focused on the token’s next price move.
ETH is currently trading below both its 50-day and 100-day Exponential Moving Averages, located near $1,801 and $1,957 respectively. Remaining below both levels suggests the broader trend still faces resistance despite recent recovery attempts.
There are, however, some encouraging signs.
Ethereum continues trading above its 20-day EMA near $1,724, indicating buyers are still defending short-term support.
Momentum indicators also lean cautiously bullish.
The Relative Strength Index (RSI) sits around 57, suggesting moderate buying momentum without entering overheated territory. Meanwhile, the Stochastic Oscillator has climbed near 85, signaling that the recent rally could soon encounter profit-taking as traders lock in gains.
Key Levels to Watch for ETH
The first major hurdle sits around the $1,800 region, where the 50-day EMA aligns closely with horizontal resistance.
If buyers can break through that level, attention would likely shift toward resistance around $1,909, followed by the 100-day EMA. Beyond that, analysts are watching a broader supply zone between roughly $2,018 and $2,107.
On the downside, immediate support remains near $1,741, reinforced by the 20-day EMA around $1,724.
If those levels fail, Ethereum could revisit support around $1,524 and $1,404, while a much deeper correction could eventually expose the $1,155 region.
For now, Ethereum continues telling two very different stories. Fundamentally, the network has become dramatically more energy efficient since The Merge. Technically, though, buyers still need to overcome several important resistance levels before a stronger bullish trend can take shape.
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