according to a Report Selling pressure on ethereum’s native token, ETH, proved to be an “inconspicuous event” after an escalation in Shanghai, according to blockchain analytics firm Nansen.
It’s been over a month since the Shanghai upgrade, which marked Ethereum’s full transition to proof-of-stake, and subsequently, ETH pledged deposits exceeded withdrawals, with ETH pledged increasing to 19.55 million ATH at press time.
In the weeks leading up to Shanghai, cryptocurrency bulls and bears had been arguing over the potential market reaction to the escalation. Since its launch in Shanghai on April 13, the ETH price has fallen about 8% to $1,851.
According to Nansen:
“Ultimately, withdrawals have been minimal and have so far matched inflows, suggesting overall investor confidence in the network and the asset itself is strong.”
Cryptocurrency exchange Kraken, in compliance with U.S. Securities and Exchange Commission (SEC) regulations, terminated cryptocurrency staking services for U.S. customers in February, and has seen a large number of withdrawals, up to more than 646,000 ETH. Meanwhile, Coinbase is not far behind with over 376,000 ETH.
While about 73% of the ETH withdrawn from staking was sent to centralized exchanges (CEXs) such as Kraken and Coinbase, most of the withdrawn ETH came from the CEXs themselves.
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According to CoinDesk