Ether’s (ETH) price had dropped 7% since being rejected from the $3,400 mark last week, falling to key support levels. Data suggested that increased staking demand, coupled with renewed ETF inflows and strong technical support, could lead to a sustained recovery.
Key takeaways:
Ether queued for staking goes parabolic, with a 44-day wait time.
Ethereum institutional demand is recovering along with ETF inflows.
ETH bulls must defend the support at $3,100 to set the stage for sustained gains.
Ethereum staking demand soars to 30-month highs
Ethereum’s entry queue has surpassed 2.6 million ETH worth $8.3 billion at current rates, with a 44-day wait time.
This marks the highest amount of Ether set for staking by the network’s validators since July 2023.
Related: Why Ethereum’s ‘walkaway test’ and quantum readiness matter more than ever
Data from ValidatorQueue notes that the current number of active validators is 978,657, with 29.76% of the total ETH supply staked, around 36.1 million ETH.
“Ethereum’s entry queue is at the highest level in 2.5 years,” said analyst Ted Pillows in a post on Sunday, adding:
“Insane demand for staking Ethereum.”
The massive staking inflows are strengthening ETH’s supply-demand dynamics, potentially setting the stage for upward price momentum this year.
Meanwhile, the Ethereum staking validator exit queue has dropped to zero, signaling a significant drop in selling pressure and boosting confidence in the yield-bearing feature of ETH’s tokenomics.
“Ethereum’s validator exit queue has been completely cleared,” said crypto investor Langerius in an X post on Sunday, adding that it is a bullish signal when people choose to stake ETH instead of selling.
Head of Research at Onchain Foundation, Leon Waidmann, said the last time Ethereum’s validator exit queue cleared was in July 2025, which was followed by a sharp rally later that summer, with ETH eventually reaching its current all-time high of $4,950 on Coinbase on Aug. 24, 2025.
Ethereum ETF demand shows recovery signs
Increasing accumulation and buying from Ether treasury companies and spot ETH exchange-traded funds (ETFs) provided the demand-side pressure required to keep ETH above $3,000.
Data from Capriole Investments reveals that collective holdings of strategic reserves and ETFs have jumped by 10% since Nov. 22, 2025, climbing to 12,227,531 ETH from 11,594,738 ETH.
The chart below shows that strategic ETH reserve entities and ETFs now hold 9.72%, worth roughly $40.1 billion, of the total ETH supply.
The sharp increase underscores a swift consolidation of Ether into the hands of major institutional and corporate players.
The majority of these entities have or will stake ETH for additional yields as part of trading strategies, which may have helped expand the entry queue in recent weeks.
Tom Lee-chaired BitMine Immersion Technologies, the largest corporate Ether treasury holder, continued to aggressively stake its ETH holdings, adding 186,560 ETH (worth around $625 million) to its staking address last week.
This brings the total amount staked by the company to 1,530,784 ETH, worth approximately $5.13 billion, or 4% of the total 36 million ETH staked on the Beacon Chain.
Meanwhile, spot Ethereum ETF buying continues, with these investment products recording inflows every day of last week, totaling $479 million, according to data from SoSoValue.
The inflows followed a three-day outflow period, when these Ethereum funds shed a combined $351 million between Jan. 7 and Jan. 9.
The key cost basis area is around $3,100
Investors acquired about 3.27 million ETH at an average cost of between $3,100 and $3,170, creating a potential support zone, according to Ether’s cost basis distribution data.
This makes this price level important as it can serve as a potential launchpad for the next leg up.
Analysts say ETH must hold the support at $3,170, coinciding with the 21-day simple moving average (SMA), for the bulls to regain their footing.
“21-Day MA is a crucial level to hold onto, and ETH has held that level nicely,” MN Capital founder Michael van de Poppe said in a recent post on X, adding:
“Now, it's ready to make new highs and continue the uptrend.
As Cointelegraph reported, holding above the $3,050- $3,170 demand zone is crucial to ETH’s upside prospects and sets the stage for a possible rally above $4,000.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision. While we strive to provide accurate and timely information, Cointelegraph does not guarantee the accuracy, completeness, or reliability of any information in this article. This article may contain forward-looking statements that are subject to risks and uncertainties. Cointelegraph will not be liable for any loss or damage arising from your reliance on this information.
