Key Insights:
- Ethereum has locked over $2.5 billion in staked ETH, reducing circulating supply.
- Ethereum’s Total Value Locked (TVL) reaches $300 billion, leading in the crypto space.
- Ethereum’s dominance in DeFi, stablecoins, and tokenization continues to grow.
- Increased staking activity signals long-term confidence in Ethereum’s market position.
Ethereum Supply Tightens with Increased Staking
Ethereum supply is being gradually reduced as a large amount of ETH gets staked. Tom Lee’s Bitmine recently staked another 186,336 ETH, worth approximately $605 million, in just four hours. This move brings the total amount of ETH staked to 779,488, equating to over $2.5 billion locked up in Ethereum’s network.
ETH SUPPLY IS GETTING VACUUMED UP 🧲
Tom Lee’s Bitmine just staked another 186,336 $ETH (~$605M) in 4 hours, that brings the total to 779,488 ETH staked — over $2.5B locked.
That ETH isn’t trading, it’s earning yield, coming off the market and tightening supply.
This is how… https://t.co/tHb0VF0pVk pic.twitter.com/Cn2uBmR81Y
— CryptosRus (@CryptosR_Us) January 6, 2026
This increasing staking activity is taking Ethereum out of circulation. As more ETH is locked in staking contracts, it no longer circulates in the open market. The growing locked supply contributes to reducing available ETH, which could potentially impact the market as fewer tokens are available for trading.
Ethereum Dominates with $300 Billion TVL
Meanwhile, Ethereum’s dominance in the cryptocurrency ecosystem is becoming more apparent. According to Joseph Young, Ethereum now boasts an impressive $300 billion in Total Value Locked (TVL). This makes Ethereum the leader in terms of application TVL, with no other network coming close.
Ethereum’s TVL includes assets tied to decentralized finance (DeFi), stablecoins, and tokenization. These sectors are crucial to Ethereum’s role as the leading blockchain network. As Ethereum continues to dominate, the network’s growth and utility expand, attracting more liquidity and users.
Staking and Long-Term Market Shifts
The recent trend of staking is reshaping Ethereum’s market dynamics. “This is how cycles change — not with hype, but with big balance sheets quietly locking Ethereum for the long term,” says one market analyst. Staking is seen as a long-term commitment, indicating growing confidence in Ethereum’s future.
By locking up such a large amount of ETH, investors are signaling their belief in Ethereum’s long-term potential. This move suggests that those staking ETH are willing to forget short-term profits in favor of future yield, potentially leading to less market volatility and more stability for Ethereum’s price over time.
