Hundreds of millions of dollars worth of Ethereum (ETH) has been unstaked in the last 24 hours as the smart contract platform launches its new Shapella upgrade. New data from crypto analytics platform Nansen reveals that over 89,000 ETH tokens, worth over $170,000,000 at time of writing, have been withdrawn from staking protocols during the […]
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More than $325 million worth of Ethereum (ETH) could hit the open market in the wake of the project’s recent Shapella upgrade, according to the crypto analytics firm Glassnode. In a new blog post, Glassnode analyst Alice Kohn examines different staking cohorts in an attempt to estimate the amount of ETH that will be sold […]
The post Over $300,000,000 in Ethereum To Hit Market After Upgrade, Says Glassnode – Here’s What Could Happen to ETH’s Price appeared first on The Daily Hodl.
The analytics firm backed up its prediction, stating only 253 validators have signed up to fully exit their staked Ether position.
An estimated 170,000 Ether (ETH) of the total 18.1 million ETH staked on the Beacon Chain will be unlocked within the first week of the Shanghai hard fork being executed on Ethereum, Glassnode has predicted.
The figure will comprise 100,000 Ether ($190 million) staking rewards and 70,000 ETH in staked Ether ($133 million) hitting the market the on-chain intelligence platform predicted in its April 11 report.
Glassnode backed up its prediction by explaining that only 253 depositors are waiting to exit their stake and that a few mechanisms are in place to prevent a flood of Ether supply from hitting the market all at once.
The highly anticipated Shanghai/Capella hard fork is scheduled to take place on 12-April-2023, enabling the withdrawal of staked #Ethereum.
— glassnode (@glassnode) April 11, 2023
In this extended edition of the Week On-Chain, we shall evaluate the overall Ethereum staking landscape, develop a framework to establish… pic.twitter.com/EVgsz3s6GG
The 253 exiting depositors own a total of 1,229 validators, while another 214 slashed validators will be forced out as soon as Shanghai is activated on Ethereum with Glassnode confident the hard fork will not have a "dramatic" impact on Ether's price action:
“Even in the extreme case where the maximum amount of rewards and stake are withdrawn and sold, the sell-side volume still falls within the range of the average weekly exchange inflow volume.”
“Therefore, we conclude that even the most extreme case will have an acceptable impact on the price of ETH,” the firm added.
Data shared by Glassnode found that only 22% of the 253 exiting depositors are currently in profit too.
Glassnode expects a large amount of Ether to be withdrawn from the crypto exchange Kraken after the legality of its staking services was challenged by the United States Securities and Exchange Commission (SEC).
It also anticipated that crypto lending platform Celsius may withdraw a large amount to sell its staked Ether as part of its bankruptcy proceedings.
However, it is unlikely that Kraken and Celsius will make these withdrawals as soon as Shanghai is activated, it said.
The average deposit price across all staked ETH is $2,136, down 12.7% from Ether’s current price of $1,865, which equates to a net unrealized loss of $4.7 billion, Glassnode said:
“After the peak unrealized loss of $16B in July 2022, the net unrealized loss now amounts to $4.7B. It is mainly carried by the Whale sized depositors, who hold a 76% share of the unrealized losses.”
Global financial firm Fidelity Investments is also of the view that Shanghai won’t have too much of an impact on Ether's price action.
Related: Ethereum price turns bullish ahead of next week’s Shanghai and Capella upgrades
It explained in an April 5 report that “selling pressure will be muted due to the likelihood of partial withdrawals being re-staked as well as the length of time the withdrawals will take.”
The Shanghai upgrade is set to take effect on April 12, 10:30 pm UTC according to blockchain infrastructure firm Blocknative.
The unlocking of staked Ether will be enabled by Ethereum Improvement Proposal-4895.
Of the five EIPs that will be activated by Shanghai, it is by far the most anticipated one as it will move Ethereum one step closer to a fully functional proof-of-stake system.
Magazine: ‘Account abstraction’ supercharges Ethereum wallets: Dummies guide
Bitcoin bulls are starting to bet big on higher BTC prices as open interest for options skyrockets, according to analytics firm Glassnode. According to Glassnode, Bitcoin options open interest (OI) has cracked the $10.3 billion mark, and is now higher than futures OI for the first time in history Options OI reflects the total dollar […]
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According to a court document filed on March 31, 2023, regarding the sentencing of James Zhong, who stole over 50,000 bitcoin from the Silk Road marketplace, the U.S. government plans to liquidate 41,490 bitcoin “over the course of this calendar year.” U.S. Government Discloses Strategy for Selling Confiscated Bitcoin The U.S. government, one of the […]
Market intelligence firm Glassnode says that the Bitcoin (BTC) network is showing a lot of strength in two key areas. In a new analytics report, Glassnode finds Bitcoin transactions are reaching a level not seen since April 2021. “The monthly average of transaction counts has hit 309.5k/day this week, which is the highest level since […]
The post Bitcoin Flashing Remarkable Strength As Adoption Accelerates, Says Analytics Firm Glassnode appeared first on The Daily Hodl.
Bitcoin's huge price surge in January has meant that 64% of Bitcoin investors are in profit, according to data from IntoTheBlock.
Bitcoin (BTC) has just clocked its 11th consecutive day outside the “Fear” zone in the Crypto Fear and Greed Index, cementing its longest streak out of fear since last March.
Bitcoin Fear and Greed Index is 61 - Greed
— Bitcoin Fear and Greed Index (@BitcoinFear) January 30, 2023
Current price: $23,780 pic.twitter.com/U5gxN3AwnT
This comes as Bitcoin hit $23,955 at 8:10 pm UTC time on Jan. 29, its highest level of the year. It has since come back down slightly, to $23,687 at the time of writing.
Meanwhile, Bitcoin sentiment is currently sitting firmly in the “Greed” zone with a score of 61, its highest level since the height of the bull run around Nov. 16, 2021, when its price was about $65,000.
However, despite Bitcoin’s strong resurgence in recent weeks, market participants continue to debate whether the recent price surge is part of a bull trap or whether there is a real chance for a bull run.
Regardless, the current rally has pushed a lot more BTC holders back into the green.
According to data from blockchain intelligence platform IntoTheBlock, 64% of Bitcoin investors are now in profit.
Those who first bought BTC back in 2019 are now — on average — back in profit too, according to on-chain analytics platform Glassnode.
We can calculate the average acquisition price for #Bitcoin by tracking exchange withdrawals.
— glassnode (@glassnode) January 29, 2023
The chart below shows the average withdrawal price for investors for each year.
The average class of 2019+ $BTC is now back in profit (at $21.8k)
Live Chart: https://t.co/yuhvydV70c pic.twitter.com/skjrM6w5lH
The average first-time buy price for BTC investors in 2019 was $21,800, which means those investors are on average up about 9% at the Jan. 29 price of $23,687.
Related: Bitcoin eyes $25K as BTC price nears best weekly close in 5 months
Meanwhile, a Jan. 29 poll from crypto market platform CoinGecko has revealed that 57.7% of 3,725 voters believe BTC will exceed $25,000 this week, while only 21.2% of voters believe BTC is primed for a pullback below $22,000.
The founder and CEO of Vailshire Capital, Dr. Jeff Ross, also provided a technical analysis of his own on Jan. 29, suggesting that a price surge toward $25,000 in the short term may be on the cards:
The strength of #bitcoin on the 4-hour charts continues to be impressive.
— Dr. Jeff Ross (@VailshireCap) January 29, 2023
While price action has trended sideways for over a week, short term indicators (MACD, RSI) have once again reset... and are now ramping higher.
A price surge to ~$25k is probable.
(Not investment advice) pic.twitter.com/QaPbNrxtxZ
Other analysts have called for excited investors to taper some of their expectations, however.
Head analyst Joe Burnett of Bitcoin mining company Blockware told his 43,900 Twitter followers on Jan. 29 that BTC won’t reach and surpass its all-time high of $69,000 until after the next Bitcoin halving event, which is expected to take place in March 2024:
I do not think Bitcoin will make a new all time high until after the 2024 halving.
— Joe Burnett ()³ (@IIICapital) January 29, 2023
Dovish macro conditions and decreased miner sell pressure will lead to the next parabolic bull run.
Using Energy Gravity as a potential top indicator, I expect the next peak to be $150k - $350k. pic.twitter.com/OfCER7s8Zq
Macroeconomist and investment adviser Lyn Alden also recently told Cointelegraph that there may be “considerable danger ahead” with potentially risky liquidity conditions expected to shake the market in the second half of 2023.
Market intelligence firm Glassnode says that Bitcoin (BTC) could soon face sell-side pressure from short-term holders (STHs) eager to cash in on the king crypto’s latest price uptick. In a new analytics report, Glassnode finds Bitcoin’s recent surge to $23,000 pushed 97.5% of its short-term holders into the green at one point during the week, […]
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A leading analytics firm says that the one key metric indicates Bitcoin (BTC) has formed a bottom, setting the stage for a rally. According to blockchain analytics firm IntoTheBlock, a large increase in the number of addresses holding the king crypto for more than a year has occurred during previous bottom formations prior to a […]
The post Is Bitcoin Bottom In? Here’s What the Long-Term Behavior of BTC Holders Suggests, Says Crypto Analytics Firm appeared first on The Daily Hodl.
New data from crypto analytics firm Santiment suggests that traders may believe the top two leading digital assets by market cap are about to find their local tops. According to Santiment, crypto traders are taking profits on Bitcoin (BTC) and Ethereum (ETH) at the highest levels seen since 2021. “Are crypto markets seeing a top? […]
The post Analytics Firm Issues Alert, Says Bitcoin and Ethereum Witnessing Highest Profit-Taking Level in Over a Year appeared first on The Daily Hodl.
