Ethereum News Today: Institutional Staking Spur Ethereum's $3K Resistance Test Amid Options Expiry Loom

Ethereum (ETH) is holding steady as investors monitor developments from key market players and evolving technical indicators. The cryptocurrency, currently trading at around $2,930, has seen increased activity from institutional investors such as BitMine, which has been accumulating significant ETH holdings. The firm has also begun staking a portion of its treasury, signaling confidence in Ethereum's long-term value.

Recent price action shows ETH struggling to break above the 20-day exponential moving average (EMA) of $3,017, with mixed signals from both technical and fundamental indicators. The market remains cautious as traders await clarity on the broader crypto ecosystem and regulatory developments. Meanwhile, Ethereum's total value locked (TVL) is expected to grow significantly in 2026, driven by tokenization of real-world assets and stablecoin adoption.

Analysts are closely watching the outcomes of a $6 billion options expiry event on December 26, which could influence Ethereum's short-term volatility. Some experts remain bearish, forecasting potential corrections to $2,700 or lower, while others project long-term growth fueled by institutional adoption and technological advancements in the Ethereum network.

Institutional Accumulation and Staking Activity

BitMine Immersion has continued its Ethereum accumulation strategy, acquiring 44,463 ETH last week and staking a portion of its holdings. The firm's total ETH holdings now exceed 4.11 million, or 3.41% of the circulating supply according to analysis. BitMine has deployed 408,627 ETH across three staking providers and plans to expand this initiative in early 2026 via its Made in America Validator Network (MAVAN).

The staking strategy is expected to generate over $374 million in annualized fees at a 2.81% staking rate, according to BitMine chairman Thomas Lee. This move highlights the growing trend of institutional investors leveraging Ethereum's proof-of-stake model to earn yield while maintaining exposure to the asset class.

Market Sentiment and Technical Outlook

Ethereum remains under pressure as it struggles to break above the 20-day EMA and the descending triangle resistance pattern. The daily RSI and Stochastic Oscillator are near neutral levels, suggesting a balance between bullish and bearish momentum. Traders are keeping a close eye on the $2,880 support level, with a break below this threshold potentially leading to a drop toward $2,620.

On the other hand, a sustained move above $3,000 could shift the momentum in favor of bulls, with the 50-day EMA at $3,160 serving as a critical psychological level. However, market participants remain cautious given recent ETF outflows and ongoing exchange inflows, which suggest a preference for distribution rather than accumulation.

Long-Term Catalysts and Analyst Predictions

Looking ahead, Ethereum's growth is being driven by increasing adoption of stablecoins and tokenized real-world assets (RWAs). Sharplink Gaming's co-CEO Joseph Chalom predicted a tenfold increase in Ethereum's TVL in 2026, fueled by a projected $500 billion stablecoin market and $300 billion in tokenized RWA assets. The rise in institutional activity, including from major financial firms like JPMorgan and BlackRock, is expected to further bolster Ethereum's role as a settlement layer for digital assets.

Tom Lee of Fundstrat has also issued a bullish forecast, predicting Ethereum could reach $7,000–$9,000 by early 2026, with the potential to climb to $20,000 in the longer term. This optimism is based on Ethereum's strengths in developer ecosystem, uptime, and institutional adoption. However, some analysts like Benjamin Cowen remain skeptical, cautioning that Ethereum may struggle to break higher in 2026 given current market conditions.

Risks to the Outlook

Despite the positive long-term fundamentals, Ethereum faces several near-term challenges. The $6 billion options expiry event is seen as a potential source of volatility, with a "max pain" level around $3,100 where the most options could expire worthless. A failure to break this level may lead to renewed selling pressure, pushing ETH toward lower support bands.

Additionally, Ethereum ETFs continue to experience outflows, with both Bitcoin and Ethereum ETFs registering net outflows in November and December. This trend suggests a lack of institutional inflows, which could limit the strength of any short-term rallies. The negative Coinbase premium index also indicates that U.S. participants are either selling or unwilling to bid aggressively, further clouding the near-term outlook.

What This Means for Investors

Investors are advised to remain cautious while monitoring key technical levels and institutional activity. Short-term traders should focus on the $2,880–$3,160 range, as a breakout above $3,160 could signal a shift in momentum toward the upside. For long-term investors, the projected growth in TVL and institutional adoption provides a compelling case for Ethereum's future value, despite current volatility.

Those interested in staking may find opportunities in platforms like BitMine's MAVAN initiative, which aims to leverage Ethereum's proof-of-stake model for yield generation. As the market awaits the outcomes of the 2026 options expiry and potential regulatory clarity, Ethereum's price trajectory will likely be shaped by a combination of technical momentum and fundamental developments.