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Shanghai Upgrade ETH Without a Drop! Binance's Zhao Changpeng Interprets the Surge in ETH This Way

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Shanghai Upgrade ETH Without a Drop! Binance

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Shanghai Upgrade First Day: ETH Approaches 2K

Ethereum welcomed the Shanghai upgrade on April 13th, allowing validators to start withdrawing their staked ETH. Contrary to the anticipated drop in ETH price, it surged significantly, nearing the $2,000 level.

Shanghai Upgrade First Day: Only 4% of ETH Withdrawn

According to Nansen data, the amount of ETH awaiting withdrawal stands at 775,920 at the time of writing, with the total staked amount being 19,165,544, resulting in only 4% being withdrawn.

This withdrawal percentage is lower than the 5% annualized return on staked ETH before the deadline, indicating that most nodes have not withdrawn their principal.

Significant Surge on Shanghai Upgrade First Day, Zhao Changpeng Mentions: Difference in Mentality

Binance founder Zhao Changpeng mentioned that this is a mindset difference. People who do not hold ETH might say, so much ETH can be unlocked. What will happen then...

However, actual holders might think, I voluntarily staked and locked up ETH years ago, back when there was no defined unlocking time.

Zhao Changpeng may believe that most ETH stakers are believers in Ethereum, participating voluntarily without a published withdrawal schedule. Selling immediately upon withdrawal availability may not be their immediate intention.

Nevertheless, the largest staking service provider, Lido Finance, will only allow withdrawals in May, which might be the key to understanding market dynamics later on. At the same time, many still do not share such optimistic views. Additional: Understanding how stETH from Lido Finance can be withdrawn