Binance Research, the research division of Binance, the largest cryptocurrency exchange by trading volume, released a research report that takes a closer look at Ethereum’s upcoming Shanghai upgrade.

The report claims that the majority of ETH stakers are underwater:

“The majority of ETH stakers are underwater and have little financial incentive to sell at the current ETH price (at least on a purely mathematical basis). We note a sizeable amount of ETH (around 2M) was staked at prices in the US$400 – 700 range – this represents the earliest stakers in Dec 2020 – a group that is likely illiquid given that liquid staking was far less known at the time. While this is a considerable chunk of staked ETH and is currently at profit, given these were the earliest stakers in the market, we can imagine these are some of the strongest Ethereum believers.“