Buying ETHUSD during consolidation with 2800 target amid supply shortage

Ethereum (ETHUSD) continues trading near the 2528 level, showing an 11.17% decline over the past seven days, following last week's brief rally above 2800. The price has now entered a consolidation phase, with ETH confined between the 2437 and 2800 levels. However, fundamental metrics suggest long-term potential despite short-term weakness.

Institutional interest in Ethereum is strengthening. SharpLink Gaming announced the creation of a $425 million Ethereum reserve, demonstrating growing corporate trust in cryptocurrencies as strategic assets. At the same time, approved spot ETFs in the US have seen consistent capital inflows for multiple consecutive weeks. These developments are laying the foundation for future growth.

The market is also facing a potential ETH supply shortage. Nearly one-third of all existing tokens (35 million ETH) are currently locked in staking, making them unavailable for trading. This reduces the circulating supply of ETH available for purchase, which could drive prices upward due to constrained availability.

Simultaneously, long-term investors have accumulated millions of ETH (22.8 million) without ever selling their coins. This behavior demonstrates that experienced market participants recognize Ethereum's long-term value and view price declines as opportunities to buy at lower levels.

By June 30, the United States plans to merge the CLARITY and GENIUS acts, which may legalize stablecoins and simplify the circulation of crypto assets. This could provide additional momentum for ETH.

Technical analysis confirms the consolidation phase. The Stochastic Oscillator remains in neutral territory (53/47), while the narrowing gap between the EMA (20) and EMA (50) signals weakening bullish momentum. The OBV (-180 million) reflects declining volumes, consistent with data on ETH redistribution toward staking and market supply shortages. The key EMA (50) support level continues to hold the price, but a breakdown below it could accelerate a decline toward 2320.

Current recommendation:

Buy ETHUSD at the current price. Take profit – 2800. Stop loss – 2437.