Even today, the price of Ethereum does not stay above $2,700

Today, the price of Ethereum has moved back above $2,700.

Unfortunately, however, as has happened several times recently, it did not manage to maintain that level. 

In fact, just a few hours after surpassing the $2,700 threshold, it fell back below this level, as it had already done on at least two other occasions in the last thirty days. 

The recent past

Despite not being a particularly high price level for Ethereum, the threshold of $2,700 at this moment appears quite important.

Thanks to the so-called Trump trade at the end of 2024, the price of ETH had risen above $4,000, but starting from the end of December, it was unable to maintain this threshold.

Note that the all-time high remains the $4,900 of November 2021, so not even thanks to the Trump trade was it able to get close. 

In January 2025 the price had already dropped to $3,000, and in February it started a correction that concluded only at the beginning of April below $1,500.

The problem is that at the end of October, before the Trump trade, the price of ETH was around $2,400, so the correction at the beginning of 2025 was quite deep, enough to scare many holders. 

A first rebound already occurred in the second half of April, with the return at least above $1,700, but it was starting from May 8 that the real rebound happened. 

The threshold of $2,700: the price of Ethereum tries to break it again today

That rebound had brought the price of Ethereum above $2,500, but it didn’t stop there. 

In fact, on May 13th it continued even above $2,600, nearing $2,700.

At that point, a phase of lateralization began, which has now lasted for almost a month, during which there have been three attempts to climb back above $2,700, all of which have failed. 

Note that it was a dynamic lateralization, given that on two occasions the price returned to $2,400.

Practically, it has been a month that ETH oscillates between $2,400 and $2,700, without being able to surpass this last threshold in a lasting way.

The current problem seems to be precisely this, namely the strong resistance posed by the 2,700$, which although breached three times already for short periods, are ultimately still holding. 

It is possible that by trying to break down this resistance repeatedly, it may eventually succeed, and it is also possible that once it is significantly broken, there may not be other resistances as strong nearby. 

Ethereum Staking

In the meantime, Ethereum has set a new all-time high. 

In fact, on Sunday the amount of ETH in staking on the Beacon Chain reached its all-time high, at 34.65 million, surpassing the previous high of November 2024.

Currently, almost 30% of all ETH in circulation worldwide is locked in staking on Ethereum validator nodes. 

Although there are tools that allow the use of tokens equivalent to staked ETH, it can be said that almost a third of existing ETH are currently locked on the Beacon Chain, also because the equivalent tokens are actually other tokens, although on par with ETH. 

Furthermore, for almost three years now, the number of existing ETH has not been growing anymore, thanks to the partial burn of the fees. 

For example, in June 2022, the total circulating supply of Ethereum was 119.5 million ETH, while now it is only 120.7 million. In September 2022, with the transition to Proof-of-Stake, the existing 120.5 million ETH was reached, and since then the only significant change is that almost a third have been locked in staking on the Beacon Chain. 

The impact on the price of ETH

Unfortunately, however, all this is not having a significant impact on the price. 

It is indeed always important to remember that it is not only the variations in supply that affect the price, but also those in demand. 

Evidently, during 2025 the market demand for ETH has dropped significantly, that is, much more than the supply has decreased. 

Behind this strong reduction in demand, there is most likely the competition from Solana. 

Ethereum until a few years ago has always been the main blockchain for the launch of memecoin, but now it has been replaced by Solana for this type of activity. 

The proliferation of memecoins on Ethereum has ensured a strong demand for ETH in recent years, also because the fees for transactions on Ethereum must always be paid only in ETH. Now the same thing, for some time now, is happening with SOL on Solana. 

Now, however, with the memecoin frenzy on Ethereum seemingly over, in theory, a healthier growth path for ETH could resume, provided that market demand finds reasons to grow.