Ethereum (ETH) staged a strong recovery from recent losses on Monday, tracking broader gain in crypto markets.
The world’s second-largest cryptocurrency jumped 7% to trade above $1,900 for the first time since sinking to a 14-month low last week. A bulk of this crash came after a bug in the ETH Beacon chain raised concerns over the stability of a full switch to proof-of-stake.
But more recent data shows that despite doubts through last week, staking and DeFi interest in ETH has remained resilient. This is also factoring into ETH’s price action, with traders hoping that its switch to PoS- ETH 2.0- can support DeFi after the Terra crash.
ETH staking grows ahead of the merge
On-chain data showed that as of Monday, the number of addresses depositing on ETH 2.0 reached 12.7 million- with roughly 10.7% of ETH’s total supply now in ETH 2.0.
This shows that despite the recent glitch, investors are still bullish on the merge. The move is expected to make the blockchain substantially more accessible traders by reducing its energy and computing requirements.
