Hours left until Ethereum’s long-awaited Shapella update will unlock 18 million staked ETH. While investors followed the development with interest, the leading analysts of the market disagreed about a possible selling pressure.
Ethereum’s Shapella update 13 April 01:20 CEST in the waters of the Beacon Chain epoch 194048 expected to occur. With the Shapella update Proof of Stake (PoS) for the mechanism staked ETHs will become withdrawable by users.
Although Shapella is considered a long-awaited positive development among investors, the fact that such a large amount will move years later has created a difference of opinion among market analysts. The most striking of these differences of opinion is the two giant institutions in the USA. JPMorgan And fidelity happened between them.
Will it create sales pressure?
For validators after upgrade, JPMorgan analysts wrote in a recent note around 1 million Since Ether will be distributed as a reward, this situation is probably “little selling pressureThey claimed to create. On the other hand, during staking bankrupt crypto institutions will be inclined to sell their holdings after lockdowns Another point emphasized by analysts was:
Selling pressure could be greater in the coming weeks, given the potential sell-off on Ether balances belonging to bankrupt institutions. Therefore, Ethereum will likely perform worse compared to Bitcoin in the coming weeks.
Fidelity analysts say that most of the Ether staked locked in the middle of our past bull run and the price at that time In the $2,500-3,000 band reminded that. After this long wait, investors 1,900 around the dollar would not want to sell at a loss Thinking analysts suggested that possible selling pressure will be experienced less.
However, Fidelity analysts drew attention to another important point. On-chain analytics platform dune The amount of Ether staked according to data provided by one third Lido Finance (LDO) It is held on liquid staking platforms such as So investors staking on this platform sETH, wsETH They receive the rewards of platform tokens such as, and can already withdraw their locked Ether at any time without the need for the Shapella update. Considering these factors, analysts say It is unreasonable to expect serious selling pressure. it could be.
Although the amount to be re-included in the supply is not very large, there are some who think that a possible “sell the news” situation may occur due to investor psychology. On the other hand, Ethereum Proof of Stake (PoS) Since the day it switched to the system, it has been under a supply shock and according to on-chain data, it has been in total since Merge. 83 thousand 870 Ethereum It is seen that it was removed from the supply by burning.
How much is the total amount of ETH to unlock?
Staking transactions on the Ethereum network December 2020started in , and the amount staked since then is approximately 34 billion dollars reached. According to the information presented on Ethereum.org, the amount of Ether staked at the time of writing 18 million displayed as.
In addition, a total of 1 million ETH representing the staking reward will be added to the balances of the users and a total of 19 million ETH will be re-included in the offer. According to the data, the locked assets on Ethereum and the staking rewards to be awarded are currently approximately equal to the total Ethereum supply. 15%makes up.