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Analysts: Ethereum price falls but staking rate continues to rise, boosting investor confidence

PANews November 10 news, CryptoQuant analyst PelinayPA pointed out that a divergence is emerging between Ethereum's price trend and staking activity. The Ethereum 2.0 staking rate has risen by approximately 4.32% since May, with currently about 36.32% of the total ETH supply in a staked state. Although the price of ETH on Binance has fallen from approximately 2,800 USD in October to 2,132 USD, the staking rate continues to rise, indicating that investors have not significantly reduced their commitment to staking due to weak prices. Analysts believe that higher staking participation reduces the freely tradable supply of ETH, which may provide support for the price when demand is strong, but staked ETH is not permanently locked, as validators can initiate withdrawals. Meanwhile, total staking inflows have decreased by 40.11%, highlighting the importance of distinguishing between long-term staking growth and daily inflow activity. Overall, Ethereum maintains potential supportive...

Source: https://www.panewslab.com/zh/articles/01a1c2dc-73f2-747e-a8e1-83629ebad040