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Ethereum extended losses alongside Bitcoin after failing to hold above $2,920, then rebounded toward $2,900 as buyers returned and institutional accumulation continued. The price drop pushed ETH below $2,860 and $2,840 before sellers forced a brief move under $2,800.
The decline stopped at $2,780 because buyers began to purchase which resulted in a recovery attempt. The price movement reached above $2,880 which restored essential technical levels. The current trading price now exists slightly above $2,900 while the 100-hour simple moving average shows temporary stabilization.
The recovery process started because Bitmine executed major institutional purchases while the entire crypto market stayed below its October high. Could sustained institutional demand offset Ethereum’s ongoing struggle to regain $3,000?
Ethereum’s selloff accelerated after it slipped below $2,860, then $2,840. It shifted the short-term structure into a bearish zone. Sellers later pressed the price under $2,800 during the decline.
The move found support near $2,780, where selling pressure slowed. From that level, ETH staged a rebound and climbed back above $2,880. The recovery cleared the 50% Fibonacci retracement from the $3,066 high to the $2,784 low.
Price action also broke above a bearish trend line near $2,910 on the hourly chart. Ethereum now trades above that level and the 100-hour moving average, while $2,960 stands as the next resistance area.
As prices stabilized, Bitmine disclosed another $118 million Ethereum purchase, lifting its total ETH holdings to $12.5 billion. The firm announced the acquisition on Monday.
The buying adds to more than $500 million in Ethereum deployed over the past month. The accumulation occurred through repeated nine-figure weekly purchases, even as the broader crypto market remains down over $1 trillion from its October record.
Bitmine has also staked nearly $6 billion worth of Ethereum. The firm projects about $1 million in daily staking revenue, reflecting its long-term strategy tied to Ethereum network participation.
Bitmine chair Tom Lee said Ethereum’s relative strength against Bitcoin since October reflects growing recognition of tokenisation use cases built on Ethereum. He described Ethereum as widely used by Wall Street with uninterrupted network uptime.
Traditional financial institutions, including BlackRock, JPMorgan, Morgan Stanley, and Visa, have publicly supported blockchain adoption linked to Ethereum. Together, these firms manage and process trillions of dollars.
Last week, BlackRock chief executive Larry Fink spoke at the World Economic Forum in Davos, calling for financial tokenisation and citing Ethereum as the firm’s top blockchain choice in its 2026 outlook. Separately, JPMorgan selected Ethereum in December for its first tokenised money market fund.
Read More: BlackRock’s Ethereum Bet in 2026: Why They Stay Bullish
Ethereum price recovery gained traction near $2,900 after a sharp decline, supported by technical rebounds and steady institutional accumulation. Bitmine expanded its Ethereum holdings while major financial firms reinforced Ethereum’s role in tokenisation. Together, these developments show continued institutional engagement despite broader market pressure.
