Ethereum prices hovered around $2,607 on Tuesday, reflecting cautious stability in crypto markets amid broader investor rotations back into equities. While down from earlier highs this year, Ethereum’s fundamentals continue to show underlying resilience, largely supported by the steady expansion of staking.
Staking metrics still offer a foundation
Data from Glassnode indicates that over 31 million ETH is currently locked in Ethereum’s staking contracts, amounting to roughly 26% of total circulating supply. This level of participation highlights persistent long-term conviction even as short-term speculative flows cool.
“Staking is the backbone of Ethereum’s security and investor confidence,” said Priya Kumar, digital asset strategist at Kraken. “It creates a natural sink for supply and dampens volatility, even if broader risk appetite shifts.”
Average staking yields remain around 3.8%, providing an attractive alternative to traditional fixed income in an environment where real yields are only modestly positive.
Institutions maintain selective exposure
Recent filings show asset managers like BlackRock continue to maintain ETH-linked products in diversified digital portfolios, although net inflows slowed in Q2 alongside a cooling of speculative fervor that had lifted prices above $3,000 earlier this year.
On-chain data also indicates that large wallets (holding more than 10,000 ETH) have been net buyers over the past month, albeit at a more tempered pace compared to the accumulation seen during the bullish runs of late 2024.
Macro remains the swing factor
Ethereum’s outlook is still closely tied to global liquidity. Traders are monitoring the Fed’s next moves, with markets pricing around a 60% chance of a rate cut in September. Any surprise in inflation or jobs data that pushes yields higher could weigh on risk assets, including crypto.
For now, Ethereum is finding an uneasy equilibrium around the $2,600 mark, with staking growth offering a buffer against sharper declines. Whether that’s enough to sustain momentum will largely depend on the interplay between macro easing and continued investor interest in blockchain’s utility beyond mere speculation.
