$ETH Primed for Rally With 40% Supply Locked Up


Analyst Crypto Gucci said $ETH has nowhere to go but up, with 40% of the supply now out of circulation amid record institutional demand. $ETH has never experienced a market cycle with all three #supply vacuums active at once, creating unprecedented conditions for price appreciation.


Digital asset treasuries did not exist in the last market cycle but have now amassed 5.9 million $ETH worth around $24 billion, equivalent to 4.9% of the total supply, according to StrategicEthReserve. These entities will hold the asset for long-term yields, removing substantial supply from active trading.


U.S.-based spot #EthereumETF have scooped up 6.84 million tokens worth $28 billion, equivalent to 5.6% of the total supply. This accumulation occurred despite staking not being approved for #ETFs, suggesting even stronger demand potential once staking functionality becomes available.


#Staking represents the largest supply vacuum, with 35.7 million $ETH staked worth approximately $146 billion and accounting for almost 30% of the entire supply. Most of this is illiquid due to the length of the exit queue, which currently stands at 40 days for validators wanting to withdraw their tokens.

image
October 15, 2025 at 5:39 PM
6