tl;dr
Data from CryptoQuant shows that while the supply of ether is increasing, the amount staked is nearing all-time highs. As an ether exchange-traded fund (ETF) becomes more likely in the U.S., the staked ether is keeping the circulating volume in check, despite the growing total supply. Julio Moreno o...
Ether's supply is growing as the amount staked nears all-time highs, potentially impacting its role as a store of value, according to CryptoQuant. Julio Moreno of CryptoQuant notes that 33.3 million ETH, or 27.7% of the total supply, is staked, signaling a return to ether's inflationary nature and challenging its role as a store of value. Additionally, data shows that roughly 40% of the cryptocurrency is "locked" in smart contracts or staked, limiting active trading.
Regarding the potential approval of a U.S. ether ETF, Polymarket bettors indicate a 90% chance of approval by July 26. However, Invesco and Galaxy, who have announced management fees for their proposed spot ether ETFs, still await final SEC feedback and amended forms for trading to commence.
In conclusion, the supply of ether is rising, but the amount staked is close to all-time highs, potentially impacting its store of value status. The likelihood of a U.S. ether ETF gaining approval is high, but several regulatory steps remain before trading can begin.