Ethereum (ETH) is facing a downward momentum with a decline in its value. But the token is also showing potential for a strong trend reversal. Its price has decreased 3.93% over the last 24 hours and 14.65% over the last week.
At the time of writing, ETH is trading at $4004, supported by a market capitalization of $481.77 billion. Moreover, its trading volume stands at $50.66 billion, marking a dip of 13.93% compared to the previous day.
Source: CoinMarketCap
A prominent crypto analyst, Max Crypto, noted that Bitmine made headlines with the acquisition of 40,980 ETH worth close to $157 million. The acquisition is made at the time of the market decline, which indicates the fact that the firm believes in the long-term potential of Ethereum. Such action indicates the fact that institutional investors spot discounted prices at the time of strategic acquisition.
Source: X
Ethereum, the second-largest coin, is at the center of the action in DeFi, NFTs, and Web3 adoption. This large-scale acquisition is the type that creates new optimism throughout the market that large money is positioning for the next go-around. Retail investors take the following lesson: smart money is scooping up the dip.
Also Read: Ethereum Price Steady as Bulls Eye Breakout Toward $4,000 Target Zone
Moreover, the crypto analyst Hailey LUNC revealed that Ethereum may be set to take off on a giant rally, with experts estimating the fair value at $8,000–$10,000 in Q1 2026. One of the driving factors is Ethereum tracking the M2 global money supply that is anticipated to catch up in Q4 this year. This tracking of the growth in liquidity adds bullishness to ETH’s long-term macro story.
Source: X
Institutional buying and prospective staking approvals will speed inflows and push the price in a strong bid for ETH. Staking brings a return on top of appreciation in price that makes Ethereum’s target more appealing to funds and bigger investors. Combined, the catalysts may launch one of Ethereum’s strongest market cycles ever.
Ethereum is dipping near the lowest Bollinger Band at $3,723. The strong resistance remains at the mid-band at $4,240, and the upper band limits the upside at $4,758. Recent candlesticks note a reversal from $3,800, but momentum remains weak and bearish in the bigger picture.
Source: TradingView
The RSI (14) is at 43.38, below the neutral line, indicating restricted buying power and a defensive attitude. The MACD remains negative, with increasing red histogram bars reaffirming steady sell pressure. Until ETH closes decisively above $4,240 support, the risk of retreating or breaking below $3,723 support remains powerfully elevated.
Also Read: Ethereum Price Rebounds, Could Bulls Push It to $7,000 Soon?