Ethereum Staking Hits Record High, Supply on Exchanges Plummet

The recent CryptoQuant report highlights a substantial increase in Ethereum staking, with 38.31 million ETH, or 31.4% of the total supply, now locked in staking. This significant supply development marks an all-time high, indicating that investors are increasingly opting for long-term staking over active trading.

The exchange data further reinforces this trend, showing a decline in circulating Ethereum supply on Binance to its lowest level since 2016. The market's buffer has thus been reduced, making it more vulnerable to price fluctuations caused by even modest buying or selling pressure.