What the numbers say: Ether (ETH), the second largest cryptocurrency by market cap after Bitcoin (BTC), has reached an 11-month high by surpassing the $2,100 level for the first time since May 2022. The rise in the ETH price was mainly triggered by the recent Shanghai upgrade on the Ethereum network. Relevance: Ethereum's long-awaited Shanghai upgrade, also known as Shapella, went live on April 12 after several months of delay. The event was considered the most significant upgrade on the Ethereum network since the Merge in September 2022 and a historic milestone in making Ethereum a fully functional proof-of-stake (PoS) network. The upgrade also made it possible for users who staked their ETH to withdraw their tokens from the Beacon Chain. Within four days after the hard fork, the number of unlocked Ethers hit 1 million, accounting for $2.1M. Brands that should care: The sharp decline in Ether price first started in May 2022, with the popular cryptocurrency reacting to the collapse of the multi-billion dollar Terra ecosystem. The downfall wiped over $60B of money off the crypto industry, leading to major cryptocurrencies seeing clear price declines. The subsequent unfortunate events, including the crypto exchange FTX's bankruptcy, also paved the way for a prolonged crypto winter, causing a steady decline in values and, hence, the crypto industry's market cap. |
