Locked and Loaded: Ethereum Staking Hits Record High of $111 Billion

• Staked Ethereum has topped 30,659,000 Units or $111 billion.
• Top Ethereum stakers include Lido Finance, Coinbase, and Kraken.

Ethereum (ETH), the second-largest cryptocurrency by market capitalization, is generating headlines once again as recent statistics indicate that over $111 billion worth of coins have been locked in staking contracts, coinciding with the asset’s resurgence above the $2,800 mark.

Rising Ethereum Staking Figures

Data from the on-chain analytics platform Nansen reveals that Ethereum validators have locked a staggering 30,659,864 ETH on the Beacon Chain as of February 14. This surge coincides with Ethereum’s price hitting a high of $2,826 amidst a broader market rally primarily driven by Bitcoin (BTC).

At press time, Bitcoin is trading at $51,857, reflecting a notable increase of over 12% in the past 7 days. Ethereum, on the other hand, is trading at $2,822, boasting a remarkable surge of over 15% in the same period.

The intra-day activity showcases a substantial deposit volume of 18,172 ETH, coupled with a withdrawal of 197 tokens. With Ethereum’s market value hovering around $2,803, these staked assets collectively wield a monetary value of approximately $86 million.

However, data from Etherscan suggests an even more impressive growth trend, with the Beacon Chain staking contract holding a staggering 39,140,039 ETH, equating to a remarkable $111,392,405,125 locked by network validators. This surge in staking activity reflects a steady upward movement over the past year, highlighting the growing participation and commitment of stakeholders to the Ethereum network.

A chart from Nansen illustrates a consistent upward trend in tokens locked on the Ethereum contract over the past year. For instance, just a month ago, Ethereum’s staking contract held 28.98 million tokens, while a year ago, it contained only 18.4 million ETH.

Notably, the leading Ethereum stakers identified by Nansen include prominent names such as Lido Finance, Coinbase, Figment, Binance, and Kraken, collectively controlling over 58% of all staked ETH. Meanwhile, the Ethereum staking contract was inaugurated in 2020, coinciding with the introduction of the Beacon Chain, marking the initial phase of the highly anticipated Ethereum 2.0 upgrade.

Ethereum’s Potential and Market Outlook

Meanwhile, speculation abounds regarding Ethereum’s potential to surpass Bitcoin based on its network advancements. A leaked report from Goldman Sachs suggests that Ethereum could dominate the crypto market, citing its superior ecosystem. Analysts like Michaël van de Poppe foresee Ethereum’s upward momentum, with attention focused on a potential breakout towards the $3,500 mark.

Looking ahead, investors are closely monitoring three critical events in the coming months. First is the Dencun upgrade expected on the Ethereum mainnet on March 13.

Additionally, the potential approval of spot Ethereum Exchange-Traded Funds (ETFs) is anticipated in May. Furthermore, the general bullish sentiment fueled by the upcoming Bitcoin halving is expected to drive prices across the entire crypto market higher with Ethereum primed to be a major beneficiary.