Why did the price of ETH go up?

Ethereum (ETH) increased by 0.59% in the last 24 hours, building on a strong weekly gain of 6.76%. This upward movement is supported by positive technical signals and growing interest from large investors. The main factors driving this trend are:

1. Increased Staking Demand – The queue for validators leaving the network dropped to zero, showing strong commitment from participants.
2. Technical Breakout – ETH surpassed a key resistance level around $3,300, triggering automated buying.
3. Whale Accumulation – Large holders have been buying ETH aggressively despite recent price gains.

Deep Dive

1. Staking Demand & Network Health (Positive Sign)

Overview: For the first time since 2025, the number of validators wanting to exit Ethereum’s network dropped to zero. Meanwhile, about 2.6 million ETH (worth roughly $8.6 billion) is waiting to be staked (Beaconcha.in). This suggests fewer people are selling their ETH and more are locking it up for the long term.

What this means: With fewer validators leaving, less ETH is being released into the market, which tightens supply. At the same time, a backlog of new validators waiting to join indicates strong demand from institutions looking to earn staking rewards (currently about 2.81% annual return). This creates steady buying pressure on ETH.

2. Technical Breakout (Positive Sign)

Overview: Ethereum’s price broke above the $3,300 resistance level, an important technical barrier based on Fibonacci retracement levels. The MACD indicator shows strong upward momentum (+21.16), and the RSI is at 65.98, meaning the asset is not yet overbought.

What this means: Breaking past $3,300 triggered automated trading systems to buy ETH, pushing the price higher. The next resistance level is around $3,344. If ETH can stay above $3,300, it could continue climbing toward $3,580.

3. Whale Accumulation (Positive Sign)

Overview: Large ETH holders (those with 10,000 or more ETH) have recently added $2.5 billion worth of tokens to their holdings—the biggest daily increase since 2018 (Glassnode).

What this means: When whales accumulate ETH, it often signals confidence in future price gains, as seen in previous bull runs in 2017 and 2021. Their buying reduces the amount of ETH available for trading and suggests strong belief in the upcoming Fusaka upgrade scheduled for December 2025.

Conclusion

Ethereum’s recent price increase reflects a combination of reduced staking supply, strong technical momentum, and strategic buying by large investors. These factors support ETH’s 12.4% gain over the past month. However, trading volume is down 40% compared to yesterday, so caution is advised. Key point to watch: whether ETH can maintain support above $3,300 as new staking queue data is released on Tuesday.

What could affect the price of ETH?

Ethereum is balancing major technology improvements with changing regulations, while large investors are making billion-dollar moves.

1. Upcoming Upgrades – The Fusaka update in December 2025 and Hegota in 2026 aim to make Ethereum 8 times faster and cut Layer 2 fees to under one cent.
2. Regulatory Challenges – The U.S. SEC is clarifying that Ethereum is not a security, but Europe’s MiCA rules create compliance hurdles.
3. Big Investors’ Moves – In July 2025, whales bought $503 million worth of ETH, showing strong confidence but also raising the risk of big sell-offs.

Deep Dive

1. Protocol Upgrades: Making Ethereum Faster (Positive Outlook)

Overview:
The Fusaka upgrade, scheduled for December 3, 2025, will increase data capacity from 6 to 48 blobs per block, cutting Layer 2 transaction fees by about 95% using a technology called PeerDAS. After Fusaka, Ethereum plans to reach 12,000 transactions per second (TPS) by 2026 with the Hegota upgrade, which adds quantum-resistant security and improves validator efficiency (Ethereum Roadmap).

What this means:
Lower fees will likely encourage more use of decentralized finance (DeFi) and NFTs on Ethereum. The improved speed will help Ethereum compete with faster blockchains like Solana. Past upgrades, like the Merge in 2022, led to a 72% increase in ETH’s price within three months.

2. Regulatory Risks & ETF Flows (Mixed Impact)

Overview:
U.S. spot Ethereum ETFs currently manage $18.5 billion as of January 2026, but the SEC Chair Gary Gensler’s decision on staking ETFs is still pending. Meanwhile, Europe’s MiCA regulations impose strict rules on custody and anti-money laundering for stablecoins, which could split liquidity across markets (Cryptoslate).

What this means:
ETF inflows, which added $840 million weekly in January 2026, support Ethereum’s price. However, restrictions on staking could limit investors’ returns. In 2025, Ethereum’s price lagged Bitcoin by 14% during months when the SEC was investigating.

3. Whale Activity & Staking Challenges (Potential Risks)

Overview:
Solo stakers, who make up 2.7% of Ethereum validators, face a big threat: a 22% cut in ETH issuance could wipe out their profits, pushing more ETH into large, centralized staking pools (Key Staking Insights). One large investor currently holds 138,345 ETH (worth $503 million), purchased at $3,720 per ETH—about 12% below today’s price.

What this means:
If staking becomes too centralized, it could weaken Ethereum’s reputation as “ultra-sound money.” If this whale decides to sell, the $503 million sell-off could test key price support at $3,259.

Conclusion

Ethereum’s success in 2026 depends on rolling out upgrades smoothly without pushing away solo validators, all while managing regulatory challenges. The large whale holdings and $28 billion in ETH options expiring by March add extra price volatility. Will Fusaka’s fee reductions boost developer activity faster than competitors like Solana? Keep an eye on how quickly the December 3 upgrade is adopted and the SEC’s decision on staking ETFs expected by mid-2026.

What are people saying about ETH?

Ethereum's outlook is a mix of hopeful technical signs and cautious moves by big investors. Here’s the latest:

1. Experts predict Ethereum could reach $3,500 by mid-February, based on momentum indicators.
2. A major investor moved $124 million worth of Ethereum to exchanges, hinting at possible selling.
3. Traders expect Ethereum to stay within a steady price range as staking activity normalizes.

In-Depth Look

1. Bullish Outlook: $3,500 ETH Target in 4–6 Weeks

@dizaynland forecasts Ethereum reaching around $3,500 by February 2026. Currently, ETH trades near $3,315 with a Relative Strength Index (RSI) of 62.23, which suggests there’s room for price growth without being overbought. This could attract traders looking to buy if the $3,315 support level holds.
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2. Bearish Signal: $124M Whale Exit

@ThePulseWallet reports that a large investor moved 40,000 ETH (about $124 million) to exchanges recently. This investor originally bought ETH at around $517, so selling now could mean a profit of roughly $400 million. Large transfers like this often indicate upcoming selling pressure, which could push prices down if the market can’t absorb the supply.
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3. Neutral Outlook: Staking Activity Normalizes

@0xSmoky__ notes that Ethereum’s price is stabilizing as momentum slows. The clearing of staking queues means fewer supply shortages, which weakens the argument for a price spike due to scarcity. This suggests Ethereum may trade within a range until bigger market events, like ETF approvals, influence it.
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Summary

Ethereum’s future price direction is uncertain, balancing between positive technical signals and cautious moves by large holders. Key price levels to watch are $3,300 for support and $3,500 for resistance, which will help indicate the next trend.

What is the latest news about ETH?

Ethereum is evolving its technology and gaining acceptance from big institutions while managing ongoing discussions about decentralization.

1. Vitalik Proposes Simplifying Ethereum’s Code (January 18, 2026) – Suggests cutting down on complex and outdated code to keep the system trustworthy and easy to maintain.
2. Fusaka Upgrade Improves Scalability (December 3, 2025) – Doubles the efficiency of Layer-2 solutions, making transactions faster and cheaper.
3. SEC Confirms Ethereum Is Not a Security (July 21, 2025) – Regulatory clarity encourages more institutional investment.

Deep Dive

1. Vitalik Proposes Simplifying Ethereum’s Code (January 18, 2026)

Overview:
Ethereum co-founder Vitalik Buterin called on developers to reduce the growing complexity of Ethereum’s code. He warned that too many features and keeping old code for backward compatibility could weaken users’ control over their assets. He suggested a “garbage collection” process to remove outdated code and focus on core rules that keep the system predictable and secure.

What this means:
This move is generally positive for Ethereum’s long-term security and decentralization. However, simplifying the code while keeping older features might slow down some updates in the short term. (Cointelegraph)

2. Fusaka Upgrade Improves Scalability (December 3, 2025)

Overview:
The Fusaka hard fork introduced PeerDAS (Peer Data Availability Sampling), which doubled the number of data blobs per block from 14 to 21. This upgrade cut Layer-2 transaction fees by about 95%, with plans to increase capacity to 48 blobs per block by early 2026.

What this means:
This is great news for Ethereum users because lower fees and faster transactions make it easier to use Ethereum for decentralized finance (DeFi), real-world assets (RWAs), and AI applications. The upgrade also added early support for quantum-resistant cryptography, preparing Ethereum for future security challenges. (CoinMarketCap)

3. SEC Confirms Ethereum Is Not a Security (July 21, 2025)

Overview:
The U.S. Securities and Exchange Commission (SEC) Chair Paul Atkins clarified that Ethereum is not classified as a security, similar to Bitcoin’s status as a commodity. This announcement came after BlackRock’s approval to launch a spot Ethereum ETF, which attracted over $4 billion in investments in July 2025.

What this means:
This regulatory clarity is positive for Ethereum because it reduces legal uncertainties for institutional investors. Ethereum’s price movements have become more closely linked with tech stocks, showing its growing role in mainstream investment portfolios. (Binance News)

Conclusion

Ethereum’s recent updates show a clear focus on making the network more scalable and compliant with regulations. While technical improvements strengthen its foundation, debates about centralization—especially related to ETF-driven price influences—continue. The big question is whether Layer-2 networks like Base and Starknet will leverage the Fusaka upgrade to bring Ethereum to the next billion users.

What is expected in the development of ETH?

Ethereum’s 2026 roadmap focuses on making the network faster, more secure, and more decentralized through two major upgrades:

1. Glamsterdam Upgrade (First Half 2026) – Boosts transaction speed and increases the gas limit to handle more activity on the network.
2. Hegota Upgrade (Second Half 2026) – Makes it easier for more people to run Ethereum nodes by reducing storage needs, improving decentralization.
3. Long-Term Vision (Beyond 2026) – Plans to enhance privacy, security against future quantum computers, and integrate AI and Web3 technologies.

Deep Dive

1. Glamsterdam Upgrade (First Half 2026)

What it does: Glamsterdam aims to increase Ethereum’s capacity by allowing transactions to be processed in parallel and raising the gas limit from 60 million to 200 million. This means Ethereum could handle around 10,000 transactions per second (TPS) on its main network (Layer 1). It also introduces features like Enshrined Proposer-Builder Separation (ePBS) to reduce unfair advantages in transaction ordering (known as MEV), and Block Access Lists (BALs) to improve data handling efficiency. This upgrade builds on previous improvements like Fusaka’s PeerDAS for better data availability. Ethereum Foundation

Why it matters: Higher throughput and lower fees can encourage more developers and users to build and use decentralized apps (dApps) and Layer 2 solutions. However, the increased hardware requirements for validators might make it harder for smaller operators to participate, which could lead to some centralization risks.

2. Hegota Upgrade (Second Half 2026)

What it does: Hegota focuses on decentralization by introducing Verkle Trees, a new cryptographic method that allows Ethereum nodes to operate with much less storage—measured in gigabytes instead of terabytes. This means more people can run nodes on regular consumer hardware, making the network more decentralized. It may also include features from Glamsterdam that help prevent censorship in transaction processing. CoinMarketCap Community

Why it matters: By lowering the barrier to running a node, Ethereum becomes more resilient and less dependent on large, centralized infrastructure providers. The main challenge is that Verkle Trees are complex and could face delays during implementation.

3. Long-Term Vision (Beyond 2026)

What it does: After 2026, Ethereum plans to explore advanced features like zero-knowledge (ZK) proofs for quantum-resistant security, social recovery wallets to improve user experience, and deeper integration with AI and Web3 technologies. The goal is to support over 1 million TPS through Layer 2 scaling, achieve stronger security standards, and build decentralized user interfaces powered by IPFS. Ethereum co-founder Vitalik Buterin highlights the importance of “self-sovereignty” through privacy technologies such as ORAM and PIR. Binance Square

Why it matters: These innovations could firmly establish Ethereum as the backbone of global decentralized finance and applications. However, some technologies like quantum resistance and cross-chain interoperability are still unproven at large scale.

Conclusion

Ethereum’s 2026 upgrades aim to significantly improve scalability with Glamsterdam and boost decentralization with Hegota, while setting the stage for future advances in security and usability. Although there are technical risks, successful implementation could strengthen Ethereum’s position as the leading platform for smart contracts and decentralized finance (DeFi). The big question remains: how will these upgrades help Ethereum compete with other high-speed Layer 1 blockchains?

What updates are there in the ETH code base?

Ethereum’s software is constantly being improved to make the network faster and more efficient.

1. Fusaka Upgrade Live (Dec 8, 2025) – Introduced PeerDAS, which helps process data better and lowers costs for Layer-2 solutions.
2. Gas Limit Raised to 45M (Jun 30, 2025) – Increased the number of transactions per block by updating default settings in key clients.
3. Pectra Hard Fork (May 7, 2025) – Added 11 Ethereum Improvement Proposals (EIPs), including higher staking limits for validators.

Deep Dive

1. Fusaka Upgrade Live (December 8, 2025)

Overview:
The Fusaka upgrade added a feature called Peer Data Availability Sampling (PeerDAS). This helps validators handle data more efficiently, reducing the load on the network and allowing more activity on Layer-2 solutions, which are secondary networks built on top of Ethereum to improve speed and lower costs.

What this means:
This upgrade is good news for Ethereum users because it lowers transaction fees on Layer-2 networks and makes the system more scalable without sacrificing security or decentralization. In simple terms, users can expect faster and cheaper transactions on these secondary networks. (Source)

2. Gas Limit Raised to 45M (June 30, 2025)

Overview:
Ethereum clients like Geth and Nethermind updated their default settings to allow a gas limit of 45 million per block. Gas is a unit that measures how much work a transaction requires, so raising the gas limit means more transactions can fit into each block.

What this means:
This change helps Ethereum handle more transactions at once, which can reduce network congestion and potentially lower fees during busy times. However, validators (the network participants who confirm transactions) need to update their software to support this change. Overall, this is a neutral update that improves capacity but requires some technical adjustments. (Source)

3. Pectra Hard Fork (May 7, 2025)

Overview:
The Pectra upgrade included 11 Ethereum Improvement Proposals (EIPs). Notably, EIP-7251 raised the maximum amount of ETH a validator can stake to 2,048 ETH, and EIP-7702 introduced smart contract capabilities for standard wallets, allowing for more advanced features like sponsoring gas fees or batching multiple transactions together.

What this means:
This upgrade makes it easier for institutions to participate in Ethereum staking and gives users more flexibility in managing their wallets. It also improves how decentralized applications (dApps) interact with users, leading to a smoother experience. (Source)

Conclusion

Ethereum continues to focus on making the network more scalable and user-friendly through upgrades like Fusaka and Pectra. Looking ahead, the upcoming Glamsterdam upgrade in 2026 will likely tackle new challenges to keep Ethereum growing and efficient.