Ethereum Hits Staking Highs as ETH Price Targets $4K Zone

Ethereum (ETH) is currently trading near a critical range that could determine its short-term price movement. The asset is being tested in the $3,300–$3,400 zone following a breakout from significant technical patterns.

Technical Breakouts Support Bullish Outlook

Analyst Merlijn The Trader has identified several key technical patterns on Ethereum's 12-hour chart. The cryptocurrency recently broke out of a falling wedge, a pattern often indicative of the end of a downtrend. Additionally, ETH has formed a double bottom formation, with its neckline established at the $3,300 level. The asset has now successfully moved above this neckline and is attempting to maintain its position above it.

The MACD indicator has also shown a bullish crossover, a signal that has historically preceded upward price movements. If Ethereum can sustain its price above $3,300, the technical indicators suggest a potential rally towards the $3,900–$4,000 range. However, the analyst also cautioned that a failure to hold above this level could lead to a price drop.

“If rejected: Reload lower, potentially back to $3,000.”

As of the latest data, Ethereum is trading around $3,300, with a 24-hour trading volume exceeding $26.5 billion. The price has seen an increase of over 6% in the past seven days, despite a slight decline in the last 24 hours. Previous analyses from other experts have indicated longer-term price targets for ETH, ranging from $4,950 up to $6,690.

Additionally, Lark Davis noted that the ETHBTC pair is currently retesting an 8-year downtrend line. A breakout from this line could signal a significant shift in favor of Ethereum and other altcoins relative to Bitcoin, indicating growing strength in the ETH market.

Ethereum Staking Supply Reaches Record Highs

The amount of Ethereum being staked has reached an all-time high, with over 36 million ETH now locked in staking protocols. This figure represents almost 30% of the total ETH supply and reflects a steady and healthy increase in staking participation. Data from ValidatorQueue.com tracks this ongoing trend.

“$ETH staking hits new all-time highs. Validators are confident Ethereum is going to push higher soon.”

The reduction in available ETH supply due to staking can exert upward pressure on the price, particularly if demand remains robust. This substantial growth in staked ETH suggests a strong level of confidence among validators regarding Ethereum's long-term prospects.

Increase in New Wallet Activity on Ethereum Network

On-chain data from Glassnode indicates a notable rise in the number of new wallet addresses interacting with the Ethereum network. The month-over-month activity retention metric shows a sharp increase in the "new" wallet cohort, which comprises addresses that have engaged with Ethereum for the first time within the last 30 days.

This trend signifies an influx of new users engaging with the Ethereum ecosystem for the first time. The increased activity could be driven by various factors, including staking, trading, or the utilization of decentralized applications (dApps) built on Ethereum. This growing engagement from new users highlights Ethereum's increasing prominence and appeal.

In separate news, Bitmine Immersion Technologies has confirmed a $200 million equity investment in Beast Industries, the company founded by popular YouTuber Jimmy Donaldson, known as MrBeast. This significant deal is anticipated to finalize by January 19, 2026, and underscores the growing interest from corporate entities in blockchain-related ventures.