News Bit: Ethereum Price Update: Ether Loses Shanghai Gains as Bitcoin Slumps 10%

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Ether loses all gains from Shanghai upgrade, dropping to $1,833; Bitcoin slumps 10%, trading as low as $27,200 amid inflation concerns and a potential recession.
Ethereum’s Shanghai upgrade enabled $35 billion worth of tokens to be withdrawn from staking contracts, propelling Ether to its highest level in 11 months before its recent decline.
Some traders remain optimistic about Bitcoin’s long-term uptrend, viewing current price action as common and suggesting a retest of the $25,000 level could be healthy.

ETH Price Update

Ether (ETH), the second-largest cryptocurrency by market capitalization, has experienced a decline, losing all the gains it made after the Shanghai upgrade. Ether dropped to $1,833 on Friday afternoon, its lowest price since April 9. The digital asset has seen a 13% decline from its high of $2,118 on Tuesday and a 5.3% drop in the last 24 hours.

The Ethereum blockchain’s Shanghai upgrade, a critical step in transitioning from a proof-of-work to a more energy-efficient proof-of-stake protocol, allowed for the withdrawal of around $35 billion worth of tokens locked in staking contracts. The upgrade caused a surge in ETH price, reaching its highest level in 11 months.

However, since Tuesday, Ether’s value has steadily dropped.

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Bitcoin Drops 10%

Bitcoin (BTC) has also experienced a slump, recently trading as low as $27,200, a 3% drop in the last 24 hours and a 10% tumble from Tuesday’s high above $30,000. The overall weakness in the crypto market was related to concerns surrounding inflation, stock market earnings, and a looming recession.

Despite the recent decline in Bitcoin’s price, some traders remain optimistic about its long-term uptrend. Credible Crypto, a popular trader, views the current price action as “common” in the crypto market, suggesting that a retest of the $25,000 level would be “logical and healthy.”

Retests of key levels are common in crypto. The last major retest we had was at 19k before our rally to 30k+. A retest of 25k here would be logical and healthy.

Also, the longer we chop around below 30k the more time we have for *some* alts to pump. Not an "alt season", just a… https://t.co/lAGvncp5xI pic.twitter.com/qkVDqSY5O3
— CrediBULL Crypto (@CredibleCrypto) April 22, 2023

As Ether erases gains from the Shanghai upgrade and Bitcoin experiences a 10% decline, the cryptocurrency market is grappling with uncertainties. However, some traders and analysts maintain their confidence in the long-term prospects of these digital assets.