Ethereum Price Prediction as ETH ETFs Lead Inflows Amid Fidelity’s Staking Filing

Ethereum (ETH) price is up by 0.42% today, August 13, to trade at $1,895 at the time of writing. The slight gains come amid Fidelity’s filing with the Securities and Exchange Commission (SEC) to add staking to its ETH ETF.

The filing also coincides with an increase in institutional demand, with data from SoSoValue showing that ETH ETFs were the only ones that posted inflows on August 12.

Fidelity’s Plan to Add Staking to ETH ETFs Bolsters Demand

Fidelity has made a filing with the SEC to add staking to its Fidelity Ethereum Fund (FETH). The filing notes that the asset manager could stake up to 100% of this fund, which has $903 million in net assets per data from SoSoValue.

The asset manager also notes that if the filing gets approval, Fidelity will retain 85% of the rewards that come from staking, while the remaining 15% will go to custodians, sponsors, and node operators.

The filing appears to have increased demand for ETH because data from SoSoValue shows that ETH ETFs were the only ones that posted inflows on August 12. Bitcoin ETFs had $61 million in outflows, while all other altcoin ETFs had zero flows.

The filing also comes at a time when Ethereum staking has reached an all-time high, with 34% of all the ETH supply being staked.

The high staking ratio has attracted calls for Ethereum to undergo an EIP-8362 upgrade that will eliminate any staking rewards if the amount of ETH staked reaches 50% of the supply.

As CoinGape reported, the upgrade has received a lot of backlash, with critics saying that Ethereum developers should focus on ways to boost utility instead.

Ethereum Price Prediction as Analyst Forecasts Rally to $3,000

Ethereum price is moving within a rising parallel channel, suggesting that the price has been making a gradual uptrend since August 1.

However, the ADX line that is falling suggests that the uptrend is becoming weak. This has pushed the price of ETH to the support at the lower trendline of the rising channel.

If Ethereum closes below this lower trendline, the price could drop to the August 1 low of $1,820.

Still, the RSI reading has risen from 44 to 50, suggesting that bears are losing their grip. If the RSI line makes a higher high to confirm a bullish long-term Ethereum price outlook, ETH could move to the midline of this channel before attempting a move to the upper trendline.

Analysts are also bullish about the Ethereum price, with Ali Charts noting that Ethereum price could reach $3,000 after closing above the support at $1,580.

Lark Davis also observes that Ethereum has created a bull flag on the one-day chart that could cause a gain to $2,400 if the obstacle at $1,900 breaks.

Ethereum’s Open Interest Falls to Monthly Low

Data from Coinglass shows that Ethereum’s open interest has dropped to $25.11 billion, with this being the lowest OI reading seen since July 14.

The drop suggests that futures traders are closing their positions as the price of Ethereum remains stuck at between $1,800 and $1,950.

Still, the market is positioned towards a long bias because the long/short reading on Binance and OKX stands at 2.43 and 1.67, respectively. This suggests that there are more long traders than short traders on the two exchanges.