Ethereum continues to attract interest despite price dip- Decoding ‘why’

• Ethereum’s recent Shanghai upgrade has led to a rise in the number of addresses holding at least 1 ETH.
• Despite the decline in active ETH, the total amount of staked ETH has been increasing.

The Ethereum Shanghai upgrade has passed, yet investors are still actively engaged and showing greater interest in the token. Although fewer active ETH is in circulation, the number of addresses holding at least 1 ETH continues to rise.

Read Ethereum (ETH) Price Prediction 2023-24

Small Ethereum holders increase

Despite experiencing a recent decline in price, Ethereum has continued to attract interest, as current data from Glassnode revealed.

Since the Shanghai update, which made staked ETH available earlier this month, some addresses have shown positive activity.

Glassnode’s data revealed that the number of addresses holding 0.01 or more coins had been steadily increasing, and as of this writing, the figure stood at over 23.7 million.

The current figure marked an all-time high.

Source: Glassnode

According to CoinMarketCap’s latest data, Ethereum (ETH) remains the second-largest cryptocurrency by market capitalization, currently valued at over $222 billion. As of this writing, the total supply of Ethereum in circulation stood at over 120 million.

Ethereum’s active supply declines

Despite the increasing number of addresses holding ETH, the supply of Ethereum that was active has been decreasing. Glassnode’s “Amount of Supply Last Active” metric, which measures the percentage of active ETH between one week and one month, showed a decline.

As of this writing, the Supply Last Active was over 7.3 million ETH, and a visible decline could be seen on the chart. 

Source: Glassnode

The “total supply last active” metric indicates the total number of units of a cryptocurrency currently available. Also, it represents the most recent period in which any of those units were transacted or moved.

The decline in active ETH might be attributed to the volume of supply that was currently staked.

New Stake decreases as total stake increases

Upon examining the staking statistics, it was evident that the number of staked ETH has been increasing. Currently, the total amount of staked ETH is almost 9 million. 

However, despite this rise, the volume of new stakes has experienced a significant drop recently. The observed chart shows that the number has decreased from around 93,000 daily to approximately 80,000.

Source: Glassnode

How many are 1,10,100 ETHs worth today?

Following its ascent above the $2,000 price range, the value of ETH has experienced a decline in recent days. As of this writing, it was trading at around $1,839, representing a loss of over 1%.

The decline marked the second consecutive day its value had been in the red zone on a daily timeframe chart.

Source: TradingView