Ethereum Price Forecast: ETH's Rise Driven by Spot Investors Amid Drop in Leverage Exposure

Ethereum (ETH) is trading near $3,136 as Bitmine stakes nearly $4 billion worth of the asset, representing 3.45% of the total ETH supply. The move comes after the company acquired an additional $76 million in Ethereum during the second week of January, signaling strong institutional confidence despite the price being 37% below its all-time highs.

The recent staking activity provides fundamental support by locking in a substantial portion of the supply and generating yield for institutional holders. Bitmine's goal of acquiring 5% of the total ETH supply creates potential upward price pressure as it would require further purchases at current levels.

Technical indicators also suggest improving momentum for Ethereum. The RSI on the hourly chart stands at 58.89, while the MACD shows a bullish crossover, typically signaling a potential move higher. The price is currently testing a descending trendline that has capped rallies since October, with a clean breakout above $3,160 expected to confirm the triangle pattern and set a target of $3,280.

Why the Move Happened

Bitmine has become the largest Ethereum staking provider, projecting annualized revenue exceeding $1 million per day. The firm is backed by prominent investors like Peter Thiel's Founders Fund and Cathie Wood's ARK Invest, adding credibility and resources to its staking operations.

The staking announcement is also a strategic move to lock supply and generate yield, which could help stabilize Ethereum's price during periods of volatility. Bitmine's continued accumulation of ETH, combined with positive retail spot inflows, suggests that institutional and retail investors are building conviction at current levels.

How Markets Responded

Exchange flow data shows $41.28 million in spot inflows on January 13, indicating accumulation after a year of mixed flows. Institutional purchases by Bitmine and positive retail inflows often precede sustained price moves rather than short-lived bounces.

The hourly chart shows Ethereum breaking above the triangle pattern near $3,140. A clean breakout above $3,160 would target $3,280 next. The pattern suggests that the market is moving out of a period of consolidation and into a phase of directional movement.

Support is currently at the triangle's lower boundary near $3,080. If the price breaks below this level, the pattern becomes invalid and could expose the $3,000 level. A breakout above $3,200 would confirm the triangle and target $3,500 next.

What Analysts Are Watching

Tom Lee, a long-time Ethereum bull, has forecasted a price target of $250,000 per token, representing a $30 trillion valuation. He argues that 2026 will be the year of Ethereum as stablecoin adoption and tokenization drive blockchain to become the settlement layer of Wall Street.

Standard Chartered has also joined the bullish sentiment, forecasting ETH will hit $40,000 by 2030 due to institutional adoption. The firm's global head of digital assets research, Geoffrey Kendrick, stated that 2026 will be a pivotal year for Ethereum, similar to 2021.

JPMorgan and Morgan Stanley have also made significant moves in the Ethereum space. JPMorgan selected Ethereum for its first-ever tokenized money market fund, while Morgan Stanley filed for an Ethereum ETF in January. These developments suggest that traditional financial institutions are increasingly recognizing the potential of Ethereum and its infrastructure.