29-5-2025 – Ethereum has ignited the cryptocurrency world with a breathtaking 50% surge over the past month, soaring from $1,800 to a peak of $2,713, a feat that has left investors both astonished and invigorated. This meteoric rise, driven by mounting anticipation of regulatory breakthroughs, signals a potential turning point for the world’s second-largest digital currency, long overshadowed by Bitcoin’s dominance.

The prospect of staking within Ethereum Exchange-Traded Funds (ETFs) has electrified markets, with the US Securities and Exchange Commission (SEC) poised to rule on a proposal from 21Shares to incorporate staking features by late May 2025. Joe Lubin, co-founder of ConsenSys, has voiced confidence among ETF issuers, fuelling optimism that this approval could unlock new avenues for institutional investment. Currently, ETFs hold approximately 3.3 million ETH, equating to 3% of the circulating supply, while 27% of Ethereum’s total supply—33.8 million tokens—remains staked, underscoring the asset’s growing traction.
This rally, however, is more than a speculative frenzy. Analysts point to a fundamental shift, with Ethereum playing catch-up after trailing Bitcoin and the broader crypto market. Tim Enneking of Psalion notes that Ethereum would need to nearly double its value to reclaim its all-time high from three years ago, even if Bitcoin’s price holds steady. The recent Pectra upgrade, enhancing the Ethereum network’s efficiency, has further bolstered confidence, with George Kailas of Prospero.ai describing it as a “timely catalyst” poised to draw significant capital into crypto-focused ETFs.
Market dynamics have also played a pivotal role. Joe DiPasquale, CEO of BitBull Capital, attributes the surge to a “steep squeeze” on short positions, as Ethereum, previously heavily shorted, witnessed a dramatic reversal in sentiment. This liquidation wave has propelled prices, though a slight dip to $2,628 followed yesterday’s high of $2,718, reflecting a moment of consolidation.