Welcome to Extreme Investor Network, your go-to source for exclusive insights and analysis on all things related to the stock market, trading, and Wall Street. Today, we’re diving into the world of Ethereum and its recent price movements in relation to the ETH 2.0 staking network.
The chart above, sourced from CryptoQuant, provides real-time data on the number of unique depositor addresses on the ETH 2.0 beacon chain staking network. For any Proof of Stake (PoS) network, an increase in depositors signifies greater decentralization, network depth, and a higher number of coins temporarily removed from the market supply.
At the close of May 19, there were 1,375,981 unique depositors on the ETH 2.0 staking network. However, following the announcement by Bloomberg analysts regarding a potential SEC approval verdict on May 20, we witnessed an unprecedented surge in new depositors.
Since then, 59,894 depositors have joined the ETH 2.0 beacon chain contracts, bringing the total number of unique staker wallets to 1,435,875 addresses as of June 30. This represents a 4.35% increase in Ethereum 2.0 staking participation between May 20 and June 30, primarily driven by the anticipation of the ETH ETF approval.
While optimism surrounds Ethereum’s yield-bearing mechanism potentially leading to a supply crunch as ETFs start staking their deposits, experts like Jonathan Solomon from ARIA (Algorithmic Rating Investment Analysis) are urging caution. Solomon highlights regulatory concerns that may arise as ETFs engage in staking activities, pointing to potential hurdles ahead.
Stay tuned to Extreme Investor Network for more in-depth analysis and expert opinions on the latest trends in the stock market, trading strategies, and Wall Street developments. Make sure to subscribe to our newsletter to receive exclusive content straight to your inbox.