- The Ethereum price breakdown below the $1,938 indicates a potential 7% drop in the near future.
- Santiment data highlights active distribution from high-net-worth investors while retailers are buying— a pattern often signalling a potential drop in market value.
- Since yesterday, BitMine acquired an additional 25,000 ETH worth nearly $48 million through BitGo.
ETH, the second-largest cryptocurrency by market capitalisation, hit a three-month low of $1,810 on Wednesday, before reverting to $1,883. The initial drop followed yesterday’s bearish momentum in the broader crypto market, triggering the 3rd largest liquidation event of 2026. Despite the risk of prolonged correction, the largest corporate holder of Ethereum, BitMine, continues to increase its exposure to ETH, indicating its strong conviction in its long-term potential.
Third-Largest Liquidation Wave Rocks Crypto in 2026
In the last 24-hours, the global crypto market cap is down 2.83% to $2.32 trillion according to CoinMarketcap. This market experienced a massive flush out on Tuesday with $1.8 billion worth of leveraged positions being liquidated across major exchanges. Bitcoin slid to its lowest point in two months while Ethereum reached a three-month low.
This episode ranks as the third-largest liquidation wave of 2026. The drop took place despite US stocks climbing to new record levels, leaving Bitcoin trading about 45% below its previous cycle high. Market participants cited a lack of external triggers or negative news with this move, and mostly attributed it to unwinding retail leverage.
The difference between traditional markets and crypto has been highlighted due to the absence of clear fundamental driving factors.
The pioneer cryptocurrency, Bitcoin, recorded a 13% drop since last week, amid the shifting holder dynamics. According to analytics platform Santiment, the addresses holding 10 to 10,000 BTC, commonly referred to as sharks and whales, reduced their balances by 24,602, projecting a 18% decline since last week.
On the contrary, small-scale participants with under 0.01 BTC in their holdings have accumulated roughly 61 coins, an 12% increase over the same period.
Santiment warns traders to wait for these participants to reverse their course, as it has historically triggered a significant buying opportunity.
BitMine Adds $48M ETH While Market Faces Turmoil
While the market data currently hints at a prolonged correction in the near future, Thomas “Tom” Lee, BitMine, continued to accumulate more ETH. According to on-chain tracker Lookonchain, BitMine acquired another 25,000 ETH worth approximately $47.98 million from BitGo yesterday.
Following this purchase, BitMine currently sits at an unrealized loss of $8.62 billion. These numbers even surpass Michael Saylor’s Strategy, which currently holds a $7.23 billion paper loss on its Bitcoin portfolio.
Key Support Levels to Watch As ETH Extends Correction below $2k
Since last month, the Ethereum price has plunged from $2,423 to $1,883, registering a loss of 22.6%. Meanwhile, the asset’s market capitalization dropped to $222.6 billion.
An analysis of the daily chart shows this pullback as a clear lower high formation, a known characteristic of an established downtrend. With yesterday’s price drop, the Ethereum price gave a bearish breakdown below $1,938 support, accelerating its prevailing bearish momentum.
With sustained selling, the post-breakdown fall could pull the price another 7% to test the next significant support at $1,738, followed by $1,620.
The momentum indicator ADX rallied to a high of 41, indicating the aggressive nature of sellers but a possible risk of overextending the bearish trend.
A broader look at the technical chart highlights an emerging support trendline currently coinciding with the $1,620 support. Since June 2022, this support trendline has offered a key accumulation zone for buyers to recuperate the exhausted bearish momentum.
Thus, the Ethereum price is approaching a key pivot zone that could determine its next dynamic move.
