Ethereum Validator Numbers Drop to Negative Ahead of Shanghai Upgrade

• The number of active validators on the Ethereum network has dropped.
• This current drop is the first one since the merger in September.
• The bullish investors have established support levels at $1,828.78.

In a concerning development for the Ethereum (ETH) community, it has been reported that the number of active validators on the ETH network has dropped to a negative for the first time since the merge in September.

A validator on the Ethereum blockchain is anyone who participates in the consensus system of the crypto. To become a validator, an investor has to deposit at least 32 ETH into the staking contract.

One reason for this rapid decline in the ETH validators can be associated with the upcoming Shangai Upgrade, scheduled for two days. Some validators fear what they might encounter in the market after the Shapella upgrade.

Since the Ethereum Merge place, which switched the ETH from Proof-of-Work (PoW) to Proof-of-Stake (PoS), the number of active validators in the Ethereum network has rapidly increased to over 418.3k validators.

The decreased number of active validators on the Ethereum network has significantly impacted the maximum number of validators recorded. Furthermore, the decline has been rapid and is even more pronounced than the decrease seen in March.

The recent decline in active validators on the Ethereum blockchain indicates that investor confidence may have shaken in the past few days. This trend is concerning as the Ethereum network prepares for the highly anticipated Shanghai upgrade.

Validators are essential to the network’s security and efficiency, so any drop in their numbers can lead to delays in transaction processing and potential security risks. The decrease in validators could be due to various factors, including technical issues, increased competition from other blockchain networks, or uncertainty around the upcoming upgrade.

Ethereum Price Stats in the Last 24 Hours

At the time of publication, Ethereum was experiencing a bullish, with a 0.83% increase and a trading price of $1,853.50. The bullish investors have established support levels at $1,828.78 and a resistance level at $1,873.06.

Additionally, the trading volume of ETH has increased by 6.22% in the last 24 hours. This uptick in trading volume is a positive sign for investors and indicates growing interest in the Ethereum market.

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