Ethereum’s Staking Activity Reaches All-Time High, Whale Transactions Surge

• Ethereum’s [ETH] staking activity reached an all-time high of 16,042,407 ETH in the ETH 2.0 deposit contract.
• The total number of validators on the ETH network increased by 0.61%, with the annualized reward rate estimated at 3.8%.
• Whale transactions witnessed a significant surge, with the percentage of eligible tokens staked being 13.87%.

Ethereum’s [ETH] staking activity continues to surge, reaching an all-time high of 16,042,407 ETH in the ETH 2.0 deposit contract. This represents a substantial increase since 6 January, when developers announced that the Shanghai Upgrade, which will enable the withdrawal of staked ETH, will go live in March 2023.

The bullish cycle also witnessed ETH sprint towards its pre-FTX market cap levels, with the number of validators on the ETH network steadily increasing by 0.61% over the seven-day period, according to data from Staking Rewards. The annualized reward rate or the reward that validators can expect to earn per year was estimated at 3.8%, making ETH staking an attractive option for investors.

Whale transactions also witnessed a significant surge, with the percentage of eligible tokens staked standing at 13.87%. This is significantly lower than other popular chains like Cardano [ADA] and Solana [SOL], both of which have a staking ratio of over 70%.

Notwithstanding the 1.3% drop observed in ETH’s price at the time of writing, the king of altcoins made a remarkable recovery since the FTX contagion hit the crypto market. The revenue from transaction fees also shot up by almost 24%, further highlighting the lucrativeness of ETH staking.

It is likely that more whales will continue to show interest in ETH in the coming days, as the total value of ETH staked and validators on the network witnesses further growth.