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And so the the total eth that is I believe locked up is around 18 million the two which is way more than 2.4 billion but this is important because this is the immediately available extractable ethereum from the current nodes that will unlock so ethereum’s backward income uh incompatible Chappella hard fork or Shanghai upgrade slated to happen in eight days will let users withdraw their staked ether the lingering fear in the market is that the impending unlocking of if deposited in the network to boost Security in return for rewards we’ll see some holders rush to exchanges to liquidate their tokens According to some observers the resulting increase in selling pressure could be worth a couple of billion dollars 1.1 million eth related to partial reward withdrawals could face the market while Celsius network is likely to sell its 158k staked balance as part of of its bankruptcy process This isn’t just likely this is I believe as far as Celsius is concerned required by them to pay off its debtors right so 158k that’s just gonna happen no matter what these two numbers represent nearly 1.3 million ether approximately 2.4 billion US dollars worth of potential sell side pressure to Face the market analysts at the k-33 research said in a note to clients on Tuesday more than 18 million ether has been staked in the network since the beacon chain went live in December of 2020 so to put that in perspective right just 10x what is immediately extractable And then push that out over time right and what you see is essentially a lot more selling pressure 10 times the initial selling pressure right so 20 billion worth of selling pressure to ethereum from basically this upgrade going into place of course they’re going to try to mitigate this by putting Limits on there and a lot of custodial credit or custodial wallets like coinbase and stuff have already put into place how would it how would I explain this a pretty stringent request form that you have to go through if you want to extract your ethereum if you’re going through like a custodian and That’s going to put even more blocks in place for a lot of the people that staked through uh basically centralized entities while the entire balance cannot be unstaked immediately after the upgrade about 1.1 million coins earned as rewards for staking can be instantly withdrawn ether stakers are paid rewards in eth Additionally selling pressure could come from the bankrupt crypto lender Celsius liquidating its staking balance of 158 176 eth to recover at least a portion of creditors funds per k-33 San francisco-based cryptocurrency exchange Kraken will or which recently came under the regulatory hammer for failing to register the offer and sale of its Crypto asset staking as a service program in the U.S is likely to unstake all eth staked by Stateside investors at press time the number of East staked through Kraken was 1.2 million so really if we look at that right off at the bat that that sounds to me like we’re going From 1.1 million to 1.3 million to really like 2.5 million which would take us up to you know around 5 billion of cell pressure on ethereum and and that could definitely be significant Kraken will steak I mean this is more significant than any miners by the way Um and and that is something to note here is like when we talk about cell pressure from miners cell pressure from miners can be taken out daily okay and so the cell pressure happens over time and in relation to the cost of energy right and there is more cell pressure When when miners have loans and so on and like we saw with Bitcoin and stuff which can make it a lot worse if you have basically poor books for some of these mining companies but when we talk about this kind of cell pressure we’re talking about immediate cell pressure of 5 billion right we’re not talking about overtime or daily cell pressure from miners it’s it’s a lot smoother of a transition when you see cell pressure from miners it’s not when you see cell pressure from basically node runners or stakers right because the stakers at the The end of the day have been staking for a very specific reason which is to basically make a profit right and while that is true for for minors the the special part about miners in in this particular scenario is miners have costs they have the power cost so they have to Answer to someone as far as for running their their machines individuals that are just staking don’t have to really answer to anyone as far as that goes right maybe their VPS provider but for the most part you can just turn down your VPS provider pretty Quickly and it’s not that big of a deal you don’t have an incurring cost or this threat of of price or or bills every 30 days right as you do with something like mining Kraken will unstake all East staked by U.S investors as a result of its Wells notice This could entice some of kraken’s eat stakers to sell analysts noted established 2017 octo Miner is an international mining hardware company they manufacture and engineer the best mining equipment in the industry and Supply rigs to some of the largest mining farms around the world their GPU mining rigs also integrate with the top Crypto operating systems like Hive OS Miner stat and simple mining all parts come with an international one year warranty exciting news they will be adding Asic miners for sale to their website soon and launching a new product built specifically for Asic home miners please visit octominer.com or email support octominer.com for questions The expected Supply boost of more than two billion dollars amounts to just 20 percent of ether’s average daily trading volume according to data from Source from coin gecko however I’m gonna take us all the way back there and say like really to me it sounds like we’re Doubling that right it sounds more like 40 percent initially of the daily trading volume partial withdrawals are likely to take between five and six days to process and full withdrawals three weeks and four months according to analysts by 21 shares in other words the selling pressure will likely be Distributed over several days yeah but that’s a lot different than being distributed over 365 days or even if we go quarterly at least like I don’t know four months daily with like mining like I don’t know this it’s a lot of cell pressure within a short amount of time Quote thanks to the modest daily limit on the original 16.27 million ether this potential selling pressure is evenly distributed over a long time this should allow buyers to match the selling pressure without much impact on the price end quote saxos Banks cryptocurrency analyst Max eberhardt said in Shanghai upgrade preview He added that a large share of ether shakers are long-term investors and are unlikely to liquidate their Holdings after the upgrade I mean if you are running a node you probably are waiting what would be what would be really interesting is what happens during the next Bull Run right Because you probably are if you’re knowledgeable in the space at all you know that Bitcoin is going to go up in price which is going to influence the rest of the market and if it’s going to influence the rest of the market you’re probably waiting till then right so We’re probably looking at like October 20 October 2025 to January or sorry October 2024 to January 2025 where we could see a mass Exodus of the actual node runners or stakers on ethereum right and that’s kind of really where I would see a majority of the of the drops Going just from you know what I would do if I was them right the chart by k33 shows 46.3 percent of The Ether staked is in profit as ether’s going market rate is higher than the rate prevalent when these coins were locked in the network meanwhile 28.04 percent of ether staked is sitting On a profit of more than 20 percent that number drops to 24.2 percent if we exclude coin staked through liquid staking services offered by Lido and coinbase per k-33 66 percent of this 24.2 percent amounting to 16 of all eats staked was deposited before February of 2021 by long-term investors The Lion’s Share of this group is unlikely to unstake it any substantial amount as eth trades 63 percent below its all-time high analystic k-33 said tokens associated with liquid staking derivatives are unlikely to be unlocked to be sold now the other question is what happens if the SEC determines Ethos’s security and says you know you have to get out now does coinbase follow suit with Kraken in this particular case and then you have all of that selling pressure that comes as well almost forced by regulation these are things that are going to come up I think quite A bit thanks for checking out this clip from the crypto mining show you can check out the full episode here or more crypto content down here also I’d like you to check out my locals page at son of a tech.locals.com where you can become a member for free or choose to be A five dollar a month supporter that unlocks additional 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Episode 247: https://www.youtube.com/watch?v=LAw2WopclGc Ethereum’s Shanghai Upgrade Could Bring $2.4B Selling Pressure to Ether: Observers https://www.coindesk.com/markets/2023/04/05/ethereums-shanghai-upgrade-could-bring-24b-of-selling-pressure-to-ether-market/ Ergo Address: 9fCyhudURbDSA2qi9k3sh1LgbHwyFwT6fck7wQW2YYWk9xR1miN ETH Address: 0x8446b70aA05c811d7bF590e6EDE3d90C00391FcE ETC Address: 0x8446b70aA05c811d7bF590e6EDE3d90C00391FcE ZIL Address: zil135ajqdgf9mj6r50e8t28p98xvsss8ay7cppyx5 Affiliate Links Amazon: https://amzn.to/3bmHH2V Coastal Crypto Mining: https://bit.ly/3bt6SVj HiveOS: https://bit.ly/2PX76cM Trezor: https://bit.ly/3b5TF1j Cryptocom: https://crypto.com/app/soat BT Miners: https://bt-miners.com/?ref=dv617zq7oz CashApp: https://cash.app/app/MPLLCNW PrimeXBT: sonofatech.com/primexbt Parallel Miner: https://bit.ly/2RwQclK Coinbase: https://bit.ly/33jNPW2 https://twitter.com/SonOfATech Facebook https://www.facebook.com/Son-Of-A-Tech Instagram https://www.instagram.com/sonofatech/ source.