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Decoding How Ethereum’s Shapella Upgrade Impacted the Staking Market

The long-awaited unlocking of staked Ethereum [ETH] was made possible by the most recent Ethereum [ETH] Shapella version. From different angles, there were conflicting forecasts about this development. Despite predictions to the contrary from certain analysts, the market value of ETH increased, which led to a return to the previously agreed-upon price range.

It raises the question of how stakers have reacted as the unlocking of staked ETH has gained speed. What percentage of bets have been withdrawn thus far, too?

Since the Shapella update went into effect more than 30 hours ago, it has gained a lot of popularity. The most recent data from Etherscan shows that investors withdrew stakers thousands of ETH worth millions of dollars. Nearly 150,000 withdrawals totaling more than 270,000 ETH had been reported as of this writing.

Additional information from Token Unlocks showed that main stake withdrawals were few compared to reward withdrawals, which made up the majority of withdrawals. Additionally, it was noted that after the Shanghai Hardfork’s successful deployment, more than 111,000 ETH was deposited. The three most popular withdrawal addresses, according to the most recent report from lookonchain, were Lido, Figment, and Celsius Network.

Lido was at the top of the list as of the time of this writing, with over 150,000 ETH withdrawals. Following closely behind with around 7,000 and 6,500 ETH withdrawals each were Figment and Celsius Network. Dune Analytics offered a thorough examination of the staking market in addition to the Etherscan data. The figures show that Lido maintained its market dominance with more over 5 million ETH staked, or more than 30% of the market.

With over 1 million ETH invested and over 5% of the market, Kraken came in second, followed by Figment with over 400,000 ETH staked. There are worries that Celsius and Kraken could have to withdraw all of their investments, though. Celsius experienced financial difficulties at the same time as Kraken dealt with the CFTC’s litigation against its staking services. These worries have led to concerns over the staking market’s future and its overall influence on the value of ETH.

In defiance of certain experts’ projections, Ethereum’s daily period chart showed that it was trading over the $2,000 level at the time of writing. According to Coinglass data, financing rates were over 0% at the time of the press, indicating that investors were expecting a price gain in the future. The price trend at the time also reflected a positive momentum.

Despite the promising prognosis, according to Coinglass, there have reportedly been liquidations totaling over $73 million over the past day.

 

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