Ethereum lost the $3,000 mark and has not regained it for several days, raising concerns that the market could enter a deeper correction. Selling pressure continues to increase as traders unwind positions and sentiment turns cautious.
The broader cryptocurrency market is also weakening, fueling speculation that a bear market could develop sooner than many expected. Fear and uncertainty now dominate social indicators, derivatives data and spot flows, with investors questioning whether ETH has already set a cycle high. However, despite the pessimism and worsening pricing structure, not all players are retreating. In fact, some of the biggest market players are accumulating aggressively.
Tom Lee's Bitmine purchased 69,822 ETH worth $197.25 million last week alone, according to new data from Lookonchain. This brings their total holdings to a whopping 3,629,701 ETH, worth about $10.25 billion.
Bitmine faces massive unrealized losses as markets wait for direction
According to Bitmine's press release, the company's average purchase price amounts to approximately $3,997, giving it an unrealized loss of approximately $4.25 billion at current market levels. This disclosure highlights the scale of confidence in Bitmine's accumulation strategy, but it also highlights how deeply Ethereum has bounced back since its recent highs. The continued decline reflects the widespread uncertainty gripping markets where fear and hesitation overwhelm momentum and liquidity remains scarce.
As traders assess whether ETH can stabilize and regain lost ground, the market is now entering a critical phase that could define price action over the coming months. Many analysts argue that despite the sharp retracement, Ethereum is still on track to recover, especially if macro conditions improve and selling pressure eases. They note that historically, aggressive whale accumulation during periods of market weakness has been preceded by strong rallies and restoration of investor confidence in similar periods.
However, others warn that the continuation of the decline could deepen if ETH fails to regain momentum above key psychological levels. So this moment has become a dividing line between optimistic expectations and bearish caution.
Ethereum price action shows weak recovery attempts amid bearish structure
Ethereum's price action on the daily chart continues to reflect a market struggling to regain upward momentum after losing the $3,000 level. The recent bounce towards $2,900 represents a temporary reaction, but the broader structure remains bearish with ETH trading below its 50-day, 100-day, and 200-day moving averages.
The alignment of these moving averages (with the fast average below the slow average) confirms the downward trend that has persisted since early October.
The chart also shows falling highs and falling lows, supporting the point that buyers have not yet regained control. The spike in volume during the sell-off suggests that bearish activity is driving market movements more than accumulation. Despite the brief recovery, all attempts to move higher were rejected near resistance in the $3,150-$3,250 range, suggesting sentiment remains fragile.
Additionally, the red 200-day moving average near $3,500 is now an important long-term threshold. If ETH is unable to reclaim this area in the coming weeks, the likelihood of continued consolidation or a deeper correction increases.
Currently, Ethereum remains in a weak position and stronger demand is needed to reverse the trend towards the bulls.
Featured image from ChatGPT, chart from TradingView.com
editing process for focuses on providing thoroughly researched, accurate, and unbiased content. We adhere to strict sourcing standards and each page undergoes diligent review by our team of top technology experts and seasoned editors. This process ensures the integrity, relevance, and value of the content for readers.
