After the Merge upgrade on Ethereum in September 2022, the Shanghai upgrade was also successful.
While there is a general expectation that the Shanghai upgrade that unlocks locked ETHs could put selling pressure on ETH and negatively affect the price, the ETH price exceeded $2,000 after the Shanghai raise, reaching its highest levels since August 2022.
At this point, Coinbase analysts, evaluating the Shanghai upgrade and the ETH price, stated that this uptrend in ETH could continue until the end of April.
As reported by Coindesk, Coinbase analysts David Duong and Brian Cubellis said that the ETH price has been resistant after the Shanghai rise.
Analysts also stated that the successful execution of the Shanghai upgrade could ensure that the rise in ETH price continues until the end of April.
Analysts, who stated that the supply of Ethereum was limited in the first 24 hours after the activation of withdrawals in ETH, stated that this triggered the rise.
Another reason for the rise in ETH was the poor performance of ETH compared to Bitcoin (BTC).
“Part of the reason Ethereum has gained in value is that the supply of ETH has decreased after the Shanghai upgrade, and since the beginning of 2023, ETH has underperformed compared to Bitcoin.
Due to the poor performance of ETH against BTC, there is some return from Bitcoin to ETH.
Also, the macro environment remains conducive to risk taking on Ethereum for now. This, in turn, could support the price of Ethereum.”
Ethereum, which went up to the levels of $ 2,140, continues to be traded at $ 2,072 at the time of writing.
*Not investment advice.
