Ethereum Price Update: $502M ETH Staked by 4,000 New Investors Before US Fed Rate Decision

Ethereum, a major player in the cryptocurrency market, saw its price open at $2,419 on September 15, experiencing a 3% pullback after an initial 15% surge within the weekly timeframe. On-chain indicators derived from ETH 2.0 staking trends hint at investors’ optimism for further gains in the upcoming week.

Despite a robust performance in the previous week driven by positive macroeconomic factors, Ethereum’s price struggled to breach the crucial $2,500 resistance level, trailing behind the market average. While Bitcoin and Ripple briefly surpassed key resistance levels at $60,000 and $0.60 respectively, Ethereum failed to reclaim the $2,500 mark.

Between September 7 and September 14, Ethereum’s price surged by 15%, reaching a monthly peak of $2,462 on September 14 from $2,150. However, as of September 15, the price dipped to $2,415, marking a 2.6% retracement in the last 48 hours.

Investors have shown a keen interest in Ethereum 2.0 staking contracts, with a notable $400 million influx following dovish Consumer Price Index (CPI) data. The Ethereum 2.0 staking network allows investors to deposit 32ETH units for security and transaction validation, offering passive yield income at an annual rate of around 4.6%.

Recent data from the ETH 2.0 beacon chain indicates a significant surge in staking inflows and the number of depositors post the dovish CPI report. Investors held a total of 34.19 million ETH in staking contracts as of September 12, which increased to 34.32 million ETH by September 15. This uptick in staking deposits, amounting to approximately $502 million, has reduced short-term market supply, potentially leading to upward price pressure.

Moreover, the rise in the number of active validators by 4,003 further underscores growing investor confidence in Ethereum’s ecosystem. The influx of new validators and staking deposits has tightened short-term ETH supply, fostering a positive outlook for price appreciation.

Looking ahead, Ethereum’s price may reverse its recent losses and embark on another upward trajectory. Technical indicators on the daily ETHUSD chart suggest a bullish sentiment, with potential resistance levels at $2,500 and $2,600. Breaking through these levels could signal the beginning of a new bullish phase, attracting more market interest and potentially fueling a sustained rally.