Ethereum Price Forecast: ETH leads crypto products flows following staking boost from SEC

Ethereum price today: $2,540

• Ethereum ETFs outperformed the global crypto products market with $321 million inflows, extending the streak to six weeks. 
• SEC Division of Corporation Finance's positive statement on staking likely boosted interest in Ethereum products amid the crypto market decline.
• ETH risks declining to $2,260 if it fails to clear a rising trendline and 50-period SMA hurdles.

Ethereum (ETH) trades around $2,500 on Monday following an outperformance of investment products tracking its price.

Ethereum products outperform amid staking boost from SEC

Ethereum investment products outperformed the total digital asset product market last week with $321 million in inflows. This marks the sixth consecutive week of net inflows totaling $1.19 billion, their strongest streak since December 2024, according to CoinShares digital asset fund flows weekly report. US spot Ethereum exchange-traded funds (ETFs) dominated the weekly flows, with $285.8 million in net inflows, extending their inflow streak to ten days.

In contrast, Bitcoin products ended their six-week inflows run with $8 million in outflows after reversing their strong inflows from earlier in the week. Additionally, XRP products experienced $28.2 million in net outflows, marking the second consecutive week of outflows.

The outperformance of Ethereum funds follows a statement last Thursday from the Securities and Exchange Commission (SEC) Division of Corporation Finance clarifying that certain "staking" activities do not fall under the scope of securities laws. The Division, led by Commissioner Hester Peirce, highlighted that the statement applies to self-stakers of covered crypto assets, as well as non-custodial and custodial staking-as-a-service providers.

The SEC's new position has boosted interest in ETH and could open the door for it to approve filings from asset managers seeking to allow staking within their Ethereum ETFs.

Ethereum Price Forecast: ETH faces rising trendline and 50-period SMA hurdle

Ethereum saw $31.63 million in futures liquidations over the past 24 hours, according to Coinglass data. The total amount of long and short liquidations is $15.69 million and $15.95 million, respectively.

ETH declined below the rising trendline of an ascending triangle pattern and the 50-period Simple Moving Average (SMA) on Friday and has since struggled around the $2,500 level. If ETH fails to move above the rising trendline and the 50-period SMA in the coming days, it may find support near the 100-period SMA. Further below, the $2,260 to $2,100 range serves as a key support level.

ETH/USDT 8-hour chart

On the upside, ETH has to maintain a firm move above the range between $2,750 and $2,850 to begin an uptrend.

The Relative Strength Index (RSI) and Stochastic Oscillator (Stoch) are below their neutral levels, indicating dominant bearish momentum.