The year started on a bullish note helping the world’s largest altcoin accelerate towards its pre-FTX market cap levels.
Days after struggling to break above $1,600, Ethereum finally broke above the resistance level on Tuesday amid a broader market rally. Even when a certain group of investors looking to pocket quick profits began dumping the token, this has not affected the growing appeal of the network.
Ethereum ownership
according to the latest data Per IntoTheBlock, there is a clear upward trend in addresses with balances of all sizes. Except for a cohort of Ether holders with 0.10 ETH to 1 ETH, which began to decrease in size with the start of the bear market, all other cohorts have been steadily increasing.
With the most recent rise in the price of Ethereum, some larger holders have resorted to dumping their assets in an attempt to make quick profits. Despite this, ITB noted an increase in addresses with larger balances in terms of USD valuations.
This trend represented improved market sentiment after a brutal year of relentless downtrend.
Further analysis of the property revealed that six addresses held a total of 22.65% of the ETH supply, and these addresses have been active. In terms of overall distribution, the ITB data suggested that whales hold the majority of tokens in circulation. Retailers, on the other hand, had a relatively small percentage of the supply.
Shanghai mainnet
Staking activity on the Ethereum network has continued its bullish trend as the total value staked on the ETH 2.0 deposit contract reached another ATH earlier this month. A prominent increase in value was seen after January 6, coinciding with the announcement by the developers of the Shanghai update that seeks to allow the withdrawal of staked ETH.
Touted as the first major upgrade since the historic Ethereum merger in September, Shanghai is scheduled to go live in March 2023.
Most recently, the first shadow fork designed to test the readiness of ETH staking withdrawal capacity was successfully implemented. The launch is expected to have a significant impact on the crypto markets and usher in the emergence of new entrants entering the network.
JP Morgan analysts predicted that 95% of retail investors on Coinbase would be able to stake Ethereum after the fork, increasing revenue from the exchange between $225 million and $545 million per year.
Meanwhile, Ethereum continued to experience the highest level of developer activity in 2022 despite the market crash.
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