Ethereum Staking Surges Post-Pectra—Is a Bullish Breakout Brewing?
Ethereum's price has increased to $1,820, marking a 3.3% rise over the past week and a 2.5% gain in the last 24 hours. This recovery suggests a potential shift in investor sentiment. Post-Pectra upgrade, Ethereum's staking activity has reversed, with fresh inflows indicating renewed interest. Between November 16 and February 15, total staked supply dropped by over 1 million ETH due to uncertainty, but from mid-February to mid-May, staked ETH increased by approximately 627,000 ETH. The Pectra upgrade introduced validator improvements that may enhance institutional adoption. Despite rising staking activity, Ethereum's fee revenue has significantly declined, dropping from 5,646 ETH on November 13, 2024, to 292 ETH by May 6, 2025, a 94.82% decrease. This decline may be due to reduced demand for block space and user migration to lower-fee Layer 2 platforms. The contrasting trends indicate investor confidence in Ethereum's long-term potential amid short-term on-chain engagement challenges.
