Ethereum Holds Strong as Staking Inflows Increase

• Ethereum holds strong with rising staking deposits reducing sell pressure.
• Key resistance at $2,100 could trigger a breakout if buyers gain control.
• A drop below $1,950 may invite selling, testing support near $1,768.

Ethereum (ETH) often turns breakouts into massive rallies, with each major breakout previously leading to all-time highs. The current setup looks similar to past patterns. Prices are strong above key levels. Staking deposits are climbing, reducing the number of tokens available, showing buyer confidence. Technical indicators suggest a potential rally. A move above resistance could trigger a surge, with a 126% gain in play. But will Ethereum repeat history, or will sellers take control?

> Each of Ethereum’s previous breakouts led into massive uphill runs into new All Time Highs!
> With $ETH holding another breaking and seemingly consolidating with the overall markets, a break above All Time Highs in a more than +126% move from here can be in the works…
> — JAVON⚡️MARKS (@JavonTM1) March 22, 2025

Optimism Ahead of Pectra Update

Ethereum ended the week with strong momentum as optimism grows before the Pectra mainnet update. The Hoodi network deployment adds excitement, and Donald Trump’s appearance at Blockworks’ Digital Asset Summit also sparked interest. Prices surged above $2,070 before profit-taking kicked in. The Federal Reserve’s decision to pause rate hikes boosted confidence in risk assets.

Although many traders moved funds into smaller altcoins, Ethereum remains stable, holding firm above $1,950. Staking deposits surged over 48 hours with over 110,000 ETH locked up, as investors seek yield and reduce downside risk. This setup creates a bullish outlook, as fewer tokens available may lead buyers to bid higher.

Key Test at $2,100 Resistance

Ethereum’s price action indicates a potential breakout, as buyers defend key support levels. History shows that sustained accumulation leads to massive moves, and the market now awaits confirmation. Technical indicators reveal a critical moment as prices test the middle Bollinger Band at $2,005. A breakout could propel prices toward $2,100, while the MACD remains positive, indicating buyers’ control.

However, failure to reclaim $2,000 may evoke selling pressure. A drop below $1,950 could unlock lower levels, with the next key support sitting near $1,768. Trading volume raises concern, signaling caution among investors.