Ethereum Selling Faces Pressure: Here Are Those Two Reasons

According to on-chain data, it is thought that Ethereum (ETH) may soon face selling pressure for 2 important reasons.

By on-chain analytics platform CryptoQuant December 16 a shared on in the post, In the coming period, two important reasons that may trigger mass sales on Ethereum were mentioned.

The first of these reasons With Shanghai update It was launched as the selling pressure to be experienced after the unlocking of a large amount of ETH. Ethereum as we know Share proof (Proof of Stake) During the transition to the system, thousands of investors had locked their Ether assets on the network. These locked Ethers are not yet available for use.

According to data previously released by Ethereum developers, the Shanghai update took place in mid-September. The Merge half a year after the update March 2023It is expected to happen in . Although speculations continue about the exact date of the Shanghai update, it is thought to trigger a possible selling pressure.

Second reason in the data As a result, the funds for the Shanghai update are locked. Ethereum 2.0 It was stated that there was a significant increase in the inflows to the deposit agreement. The amount of Ether locked in the contract is currently approximate total Ethereum supply 12% of and there is a decrease in the amount of depositors.

on the other hand Cardano (ISLAND) Founder Charles Hoskinsontook a critical approach to the staking model, which requires that staked Ethers remain locked until Shanghai.

Hoskinson stated that unlike Ethereum stakers, Cardano stakers do not have to be rich and can withdraw their ADA at any time:

In fact, they don’t have to move their ADA from wallets to stake them.


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