Ethereum News Today: Ethereum's Key Support Levels Tested by Institutional Staking and Regulatory Shifts

Coinbase's reported Ethereum (ETH) collateral lending practices have drawn scrutiny as market participants await confirmation of the details. On November 18, 2025, BlackRock deposited 64,707 ETH into Coinbase Prime, a move that followed a series of sales totaling over $198 million and sparked fears of a potential sell-off. The deposit comes amid broader uncertainty about Ethereum's price trajectory, as the asset remains above key support levels of $2,904-$2,916 and $2,760-$2,772 despite recent volatility near the $3,000 threshold.

Regulatory developments have further complicated the landscape. The Office of the Comptroller of the Currency (OCC) has permitted banks to hold ETH for paying Ethereum network gas fees, a policy requiring institutions to maintain separate ETH accounts or acquire the cryptocurrency through specific transaction methods. This shift underscores growing institutional adoption of Ethereum, though it also raises questions about how traditional financial systems will integrate with blockchain infrastructure.

Meanwhile, 21Shares' Ethereum ETF has taken steps to optimize returns through staking. On October 7, 2025, the fund entered a staking services agreement with Coinbase Crypto Services, LLC, allowing it to stake ether and earn a portion of the gross staking rewards. The Trust, which tracks Ethereum's performance, plans to continue these activities as long as they do not pose undue legal or regulatory risks. This decision follows the expiration of a fee waiver that previously shielded investors from costs for the first six months of the Trust's operation.

The interplay between institutional custodianship and staking strategies highlights a broader trend in the crypto market. While BlackRock's large ETH deposits suggest continued demand for Ethereum as a collateral asset, the 21Shares ETF's approach reflects efforts to maximize yield in a regulatory gray area. Analysts note that the success of these strategies hinges on the stability of Ethereum's price and the clarity of evolving rules governing crypto assets.

As the market digests these developments, investors remain cautious. Ethereum's ability to maintain its position above critical support levels will be closely watched, particularly as new entrants like banks and ETFs increase their exposure to the asset. The OCC's recent policy and Coinbase's role in facilitating both institutional and ETF staking activities could set precedents for how traditional finance interacts with decentralized networks in the future.