Ethereum has undergone several significant upgrades, including transitioning from proof-of-work to proof-of-stake consensus and the recent Shapella upgrade. This upgrade brought new changes to the network, including the ability to withdraw staked ETH. Despite predictions of a major sell-off, ETH’s price remained strong.
Recently, TokenUnlocks data has shown that there have been over $1.5 billion in withdrawals in the past week following the Shapella upgrade.
Staked Ethereum level plummets by $1.5 billion
Recent data indicates that investors have withdrawn 1.36 million ETH and deposited only 736.70k ETH after the Shanghai upgrade. As of yesterday, the net staking balance was at 84.54k, with 20.77k ETH withdrawn and 105.32k ETH deposited.
To ensure the security of the Ethereum network, there are limits on the number of concurrent withdrawals allowed. As a result, individuals who wish to withdraw their Ether must join a withdrawal queue.
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According to current data on the amount of Ether queued up for full withdrawals, those who join the queue now should expect to wait for over two weeks before receiving their Ether.
Despite this, some analysts had previously predicted a lower likelihood of a sell-off, as most of the staked ETH was already at a loss. Following the Shapella upgrade, the price of ETH surged to over $2,137. However, the recent market sell-off has impacted the price of Ether, resulting in a 2.58% drop in the last 24 hours. Currently, according to CoinMarketCap data, Ethereum is trading at $1,928.