The Ethereum staking ecosystem has reached $3.8 billion, with 877,106 Ether queued for withdrawal, primarily driven by platforms like Lido, EthFi, and Coinbase. The increase in unstaked Ether has come alongside a 140% rise in strategic reserves and ETF holdings since May 1. Lido leads with 285,000 ETH queued, indicating a trend towards profit-taking. However, institutional buying and strong ETF-related accumulation are seen as potential mitigating factors against selling pressure. As Ether prices face volatility, hitting around $4,500, maintaining critical support at $4,200 is essential to prevent liquidations of over $1.2 billion in long positions. Analysts suggest that if Ether holds this support, it could rally higher. Conversely, if inflows diminish, the backlog of queued ETH might negatively impact prices. The depth of institutional interest also suggests some might be repositioning for potential future ETH staking ETFs, which could reshape exposure without leaving the market altogether. Investors are advised to remain cautious as the market dynamics unfold, particularly ahead of potential ETF approvals by the SEC in April 2026, with some expectations for earlier decisions.

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