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You can also read this news on COINTURK NEWS: <a href="https://en.coin-turk.com/ethereum-staking-attracts-increased-interest-post-shapella-upgrade/" data-wpel-link="internal">Ethereum Staking Attracts Increased Interest Post-Shapella Upgrade</a> 
Last year, a major update had completely transformed ETH. Since the Shapella Upgrade in April 2023, there has been a noticeable increase in interest from both old investors and newcomers in staking Ethereum (ETH). The ability for investors to withdraw their assets at any time has re-established a secure environment in the process and paved the way for a greater amount of ETH to be staked on the network. 
<h2 style="text-align: justify" id="current-status-of-eth-staking">Current Status of ETH Staking</h2> 
According to an analysis based on CryptoQuant data, the amount of ETH staked from the total circulating supply was at 15% before last year’s upgrade, and as of the time of writing, it has risen to 24.5%. 
<img loading="lazy" loading="lazy" decoding="async" class="aligncenter size-full wp-image-305343" src="https://coin-turk.com/wp-content/uploads/2024/01/24-5-eth-crypto-quant.jpg" alt="" width="622" height="390"> 
Interestingly, despite the increase in staking demand and the consequent significant decrease in returns, investors have not given up on staking. When the annual <a href="https://newslinker.co/category/finance/" data-wpel-link="exclude">financial</a> return for validators was calculated, the rate that was 5.2% in June 2023 had fallen to 3.64% as of the time of writing. 
<img loading="lazy" loading="lazy" decoding="async" class="aligncenter size-full wp-image-305344" src="https://coin-turk.com/wp-content/uploads/2024/01/staking-apr-3-64-eth.jpg" alt="" width="612" height="360"> 
On the other hand, looking at the reserves of ETH in exchanges, as of the time of writing, there was only about an 11% liquid supply, indicating a multi-year downward trend. To put it more simply, due to the significant decrease in the number of ETH coins held in exchanges for active buying and selling, a scarcity has formed in the market. 
<h2 style="text-align: justify" id="why-the-liquidity-drop-in-eth-is-important">Why the Liquidity Drop in ETH is Important</h2> 
When examining the foundation of the economy from the past to the present, a decrease in the number of an asset, assuming consistent or increasing demand, leads to a price increase. To give an example on the subject, this situation can be understood from the example of gold and, upon closer examination, <a href="https://en.coin-turk.com/renowned-crypto-analyst-dave-the-wave-shares-new-predictions-for-litecoin-and-bitcoin/" data-wpel-link="internal">Bitcoin</a> (BTC). 
<img loading="lazy" loading="lazy" decoding="async" class="aligncenter size-full wp-image-305342" src="https://coin-turk.com/wp-content/uploads/2024/01/eth-uygun.jpg" alt="" width="620" height="391"> 
However, unlike Bitcoin, Ethereum’s supply is unfortunately not limited. For this reason, the increasing stake deposits have created a complex situation for investors planning on ETH and market analysts. 
On the other hand, the staking of ETH and the reduction of its circulating number will eventually lead to a decrease in volatility. Such an event could bring stability to the price’s volatile nature or push the price upwards, making ETH more valuable. 
On-chain analyst LeonWaidmann‘s views on the subject were as follows: 
<blockquote> 
 We are witnessing an ETH scarcity like never before, overshadowing all past Bullruns! Eventually, this supply crunch will lead to a major price explosion. 
</blockquote> 
According to data from 21milyon.com, the price of ETH at the time of writing was $2,474, representing only a 0.13% increase in the last 24 hours. 
<h5>The post first appeared on COINTURK NEWS: <a href="https://en.coin-turk.com/ethereum-staking-attracts-increased-interest-post-shapella-upgrade/" data-wpel-link="internal">Ethereum Staking Attracts Increased Interest Post-Shapella Upgrade</a></h5>

Ethereum Staking Attracts Increased Interest Post-Shapella Upgrade

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