ETH Staking Inflows and Value Staked Bring $1,750 into View

Key Insights:

• On Saturday, ETH ended the session flat at $1,822.
• A pullback in ETH staking inflows and news of Bittrex planning to shut its US operations pinned ETH back from a return to $1,900.
• However, the technical indicators remain bullish, leaving $2,000 in view.

Ethereum (ETH) ended the Saturday session flat. Following a 1.56% gain on Friday, ETH ended the day at $1,822. ETH avoided sub-$1,800 for the first time since August 2022.

A bullish start to the day saw ETH rise to an early high of $1,843. Falling short of the First Major Resistance Level (R1) at $1,853, ETH fell to a late afternoon low of $1,809. However, steering clear of the First Major Support Level (S1) at $1,786, ETH revisited $1,826 before easing back.

Pre-Shapella ETH Staking Slides to Standard Weekend Levels

ETH staking inflows fell for the first time in five sessions. According to CryptoQuant, staking inflows slid from 55,104 ETH on Friday to 8,380 ETH on Saturday. While the fall to sub-10,000 is a bearish signal, staking inflows have seen sizeable declines over the weekend periods, limiting the impact of the fall on ETH.

Investors would need to see a resumption of the upward trend in staking inflows and total value staked to support a bullish ETH response to the upcoming Shapella upgrade.

The total value staked fell further back this morning, supporting the bearish start to the Sunday session.

The Day Ahead

Updates from the SEC v Ripple case need monitoring, with regulatory and lawmaker activity likely to move the dial.

However, staking movements will also need tracking. Following the market reaction to the US inflation numbers on Friday, the NASDAQ mini could influence investor sentiment in the final hour.

Ethereum (ETH) Price Action

At the time of writing, ETH was down 0.18 to $1,819. A range-bound start to the day saw ETH rise to an early high of $1,825 before falling to a low of $1,811.

Technical Indicators

ETH needs to move through the $1,825 pivot to target the First Major Resistance Level (R1) at $1,840 and the Saturday high of $1,843. A return to $1,850 would signal a breakout session. However, the news wires should be crypto-friendly to support a breakout.

In the event of an extended rally, the bulls would likely test the Second Major Resistance Level (R2) at $1,859. The Third Major Resistance Level (R3) sits at $1,893.

Failure to move through the pivot would leave the First Major Support Level (S1) at $1,806 in play. However, barring an event-fueled crypto market sell-off, the Second Major Support Level (S2) at $1,791 should limit the downside. The Third Major Support Level (S3) sits at $1,757.

Looking at the EMAs and the 4-hourly candlestick chart (below), it was a bullish signal. Ethereum sat above the 50-day EMA, currently at $1,790. The 50-day EMA moved away from the 100-day EMA, with the 100-day EMA pulling away from the 200-day EMA, delivering bullish signals.

A hold above the Major Support Levels and the 50-day EMA ($1,790) would support a breakout from R1 ($1,840) to target R2 ($1,859). However, a fall through S1 ($1,806) would give the bears a run at S2 ($1,791) and the 50-day EMA ($1,790). A fall through the 50-day EMA would send a bearish signal.