Staking surge sends TVL to record high

Ether.fi, a top staking network on Ethereum, went on a short squeeze as its total locked value jumped to a record high.

Ether.fi (ETHFI) price jumped to $1.1397 on Sunday, up by 215% from its lowest level this month. This brought its market cap to over $273 million and its fully diluted valuation to $1.17 billion. Its 24-hour volume jumped by 291% to $493 million.

The ETHFI token jumped as the total value locked in its ecosystem jumped to a record high of 2.72 million ETG, up from 2.42 million in January. It has risen from 46,000 in January last year.

The TVL has jumped to $6.86 billion in U.S. dollar terms, making it the fourth-biggest player in the decentralized finance platform.

This growth has led to a big increase in its weekly fees. DeFi Llama data shows that the weekly fees jumped to $3.1 million, its highest point since February this year. Ether.fi’s monthly revenue jumped to $2.4 million, with a portion of it going to its token buyback.

Ether.fi’s network has done well in the past few days because of the ongoing Ethereum (ETH) price surge. After crashing to a low of $1,388 in April, the Ethereum price surged to a high of $2,595, its highest level since February. 

Other Ethereum DeFi networks have also had inflows as its price jumped. As a result, the total value locked in its network has jumped by 43% in the last 30 days to over $130 billion. 

ETHFI price technical analysis

The daily chart shows that the ETHFI price has rebounded in the past few weeks, moving from a low of $0.3937 in April to over $1. It has soared above the 50-day and 100-day Exponential Moving Averages, a sign of gaining momentum.

ETHFI, which Arthur Hayes backs, has also retested the important resistance point at $1.50, the lowest point in August, September, and November last year. Therefore, the coin’s price will likely keep going up, with the next point to watch being at $2.