ETH Staking Statistics Signal a Shift in Sentiment Despite SEC Filing

Key Insights:

• ETH joined the broader market in negative territory on Wednesday, falling 0.05% to end the day at $1,855.
• SEC Court filings in the SEC v Ripple case and staking statistics left ETH on the back foot.
• The shorter-term technical indicators remained bullish, signaling a return to $1,900.

Ethereum (ETH) slipped by 0.05% on Wednesday. Following a 1.53% gain on Tuesday, ETH ended the day at $1,855. Significantly, ETH held onto the $1,850 handle for the second consecutive session.

Ethereum Price Action

This morning, ETH was down 0.30% to $1,850. A mixed start to the day saw ETH rise to an early high of $1,857 before falling to a low of $1,849.

Daily Chart

The Daily Chart showed ETH hovering below the $1,865 – $1,895 resistance band. ETH sat below the 50-day EMA ($1,862) while holding above the 200-day ($1,788), sending bearish near-term but bullish longer-term price signals. Notably, the 50-day EMA narrowed to the 200-day EMA, a bearish price signal.

Looking at the 14-Daily RSI, the 47.31 reading reflects bearish sentiment, supporting a fall through the $1,815 – $1,795 support band to target the 200-day EMA ($1,788). However, an ETH move through the 50-day EMA ($1,862) would support a breakout from the $1,865 – $1,895 resistance band to target $1,950.

4-Hourly Chart

Looking at the 4-Hourly Chart, the ETH/USD faces strong resistance at $1,900. ETH sits below the $1,865 – $1,895 resistance band and the 200-day EMA ($1,862). However, ETH held above the 50-day EMA ($1,845), sending bullish near-term but bearish longer-term price signals.

An ETH move through the 200-day EMA would support a breakout from the $1,865 – $1,895 resistance band to target $1,950. However, a fall through the 50-day EMA would bring the $1,815 – $1,795 support band into play.

The 14-4H RSI reading of 53.73 sends bullish price signals, with buying pressure outweighing selling pressure. Significantly, the RSI signals a breakout from the 200-day EMA and the $1,865 – $1,895 resistance band to target $1,950.

The SEC Leaves ETH and the Broader Market in the Red

It was a busy Wednesday session, with the SEC v Ripple case in the spotlight.

“The SEC filed a letter outlining its basis for filing a Motion for Leave to File an Interlocutory Appeal regarding ‘Programmatic’ offers and sales to XRP buyers over trading platforms and Ripple’s Other Distributions.”

Defense attorney James Filan shared the news, adding,

“The SEC seeking a stay of all proceedings pending appeal is not unexpected.”

Significantly, the SEC is asking for the Court not to enforce the Judgment on Programmatic Sales until after an appeal.

SEC Chair Gary Gensler threw ETH into the Crypto Securities Basket earlier this year. Uncertainty about the outcome of the appeal would be a bearish scenario.

Staking Statistics Signals Improve Despite the Mixed Session

According to CryptoQuant, staking inflows increased from 41,792 ETH on Tuesday to 52,800 on Wednesday. Despite the increase, staking inflows remained below recent trends.

The overnight withdrawal profile was bearish, with ETH principal withdrawals at above-normal levels. However, withdrawal projections for the morning session turned bullish. Projections show ETH withdrawals will stay at normal withdrawal levels.

On Wednesday, the net ETH staking balance stood at a 42,590 ETH surplus ($78.46 million), up 105% over 24 hours. Deposits totaled 48,130 versus withdrawals of 5,540 ETH.

According to TokenUnlocks, total pending withdrawals stood at 48,620 ETH, equivalent to approximately $90.03 million. Notably, the staking APR stood at 5.72%, unchanged over 24 hours. While the downward trend in staking APR remains bearish, the fall in total pending withdrawals and the jump in the net staking balance are bullish price signals.