Ethereum’s open interest, which represents the value of all active ETH derivatives contracts, has surged by 40% since last week, following the successful execution of the much-anticipated Shapella upgrade on the Ethereum blockchain. Chicago Mercantile Exchange (CME) data shows that Ethereum’s open interest has increased by 39% to 6,248 active ether futures contracts since April 10. Additionally, the aggregated open interest of Ethereum futures hit a one-year high on April 14, rising above $8 billion compared to less than $6 billion just a few days earlier. Open interest is a measure of market sentiment and institutional activity, indicating rising investor interest in Ethereum following the upgrade.

The Shapella upgrade, completed on April 12, combined two upgrades, Shanghai and Capella, enabling validators to withdraw their staked Ethereum for the first time. This is expected to increase interest in Ethereum liquid staking, particularly among institutional investors, leading to more incentives and competition among liquid staking platforms.

Despite concerns that the upgrade would lead to significant selling pressure, there was no notable drop in Ethereum’s price following the update. Glassnode predicted that only a small number of depositors were waiting to exit their stake, and market participants would absorb any selling pressure, offsetting any price drops. As of April 20, Nansen data shows that stalkers have withdrawn 574,700 ETH since the Shapella upgrade, but there has also been a surge in ETH deposits, partially offsetting the impact of exiting ETH.