- The Ethereum price breakdown below $2,000 open ups the path for a prolonged correction to $1,938 to $1,750.
- Bitmine expanded its Ethereum treasury by 26,497 ETH over the last week, raising its total holding to 5,416,901 ETH.
- The broader crypto market witnessed a notable sell-off on Monday as Iran halts talks with the U.S., accusing ceasefire violations.
ETH, the native cryptocurrency of smart contract giant Ethereum, drops roughly 1.75% during Monday’s U.S. market hours to break below the $2,000 floor. The sell-off followed Iran’s announcement that it is ending all negotiations with the U.S. and vows to completely block the Strait of Hormuz. While the renewed geopolitical tension has extended correction in several cryptocurrencies, the Ethereum price has witnessed continued support from institutional players, including BitMine’s recent purchase of 26,497 ETH.
Crypto Market Slides as Iran Walks Away From US Negotiations
On June 1st, the broader crypto market witnessed a drop of roughly 2.4%, which pulled its market cap to $2.43 trillion. Similarly, the Bitcoin price plunged 2.63% to trade at $71,655, and the Ethereum price slipped 1.75% to $1,961.
A primary catalyst behind this drop is Iran’s decesion of ending all negotiations with the US and vows to completely block the Strait of Hormuz, according to a semi-official Tasnim news agency. Iran says the decision surfaces amid the repeated ceasefire violations, including Israeli strikes in Lebanon.
As a result, Brent crude oil futures surged more than 5% to around $96 per barrel on Monday, triggering risk-off sentiment among risk assets.
Bitmine Acquires 26,497 ETH Last Week
While the renewed geopolitical tension has raised market uncertainty, the Ethereum price has been getting strong support from institutional players.
As of May 31st, 2026, Bitmine reported its cryptocurrency position, including 5,416,901 ETH valued at $2,003 each, along with 203 Bitcoin. Other holdings included a $180 million investment in Beast Industries and a $93 million stake in Eightco Holdings, known as moonshots. The total cash on hand was $446 million.
Currently, these ETH holdings represent 4.49% of the total 120.7 million ETH supply. According to a recent press release, Bitmine added 26,497 ETH to its portfolio last week.
In addition, the firm staked 4,718,677 ETH, equivalent to $9.5 billion at current prices. This amount covers more than 87% of its total ETH and exceeds staking volumes recorded by other organizations. Thomas “Tom” Lee, Bitmine’s Chairman, noted that full staking through MAVAN and partners could generate $296 million in annualized rewards based on a 2.73% seven-day BMNR yield.
The annualized staking revenue is estimated to be $258 million. Bitmine also recorded an internal staking yield of 2.73% for the last week over an annual timeframe. He noted that the performance of Ethereum’s fundamentals has not yet been reflected in price increases and attributed this to the early stages of crypto spring. The company would reach the “alchemy of 5%” goal by the end of 2026, Lee said.
Key Support Levels to Watch as Ethereum Price Extends Correction Below $2k
Over the past three weeks, the Ethereum price has witnessed a directional downtrend from $2,832 to its current trading value of $1,961, registering a loss of 17.38%. This pullback pushed the ETH price below the key daily exponential moving averages (20, 50, and 100), reinforcing the bearish sentiment in the market.
The daily chart analysis highlights this drop as another lower high formation in its ongoing correction trend, indicating an intact sell-the-bounce narrative in the market. If the bearish momentum persists, the Ethereum price could breach below $1,938 support and slip another 10% to hit $1,750.
If the buyers manage to defend the $1,750 support, a long-awaited support trendline— as shown in the chart above— is gradually closing its gap with the Ethereum price. Historically, this support has acted as a major accumulation zone for buyers at the end of the correction trend, and therefore, can act as a potential point of reversal.
