ETH Dips Despite Institutional Demand
Ethereum Price Under Pressure
On July 1st, the price of Ether (ETH) experienced a decline, reaching $2,418.39 after a day of consistent losses. This drop follows a broader cryptocurrency market selloff, with CoinGecko reporting a 4.1% decrease in total market capitalization over 24 hours. This downturn is partially attributed to renewed political uncertainty in the US.
Political Volatility Impacts Crypto
A high-profile dispute between Elon Musk and Donald Trump regarding the "One Big Beautiful Bill" has heightened investor concerns. Musk's criticism and Trump's response have introduced uncertainty regarding fiscal policy, energy markets, and regulatory stability—factors known to influence crypto valuations.
Growing Institutional Ethereum Adoption
Despite the price drop, institutional interest in Ethereum remains strong. Several companies are significantly increasing their ETH treasury holdings. SharpLink Gaming (Nasdaq: SBET) added 9,468 ETH ($22.8 million) to its holdings, bringing its total to 198,167 ETH, making it the world's largest publicly traded ETH holder. Chairman Joseph Lubin described ETH as a strategic currency for the future of digital commerce.
BitMine (NYSE American: BMNR) announced a $250 million private placement to build its Ethereum treasury, aiming to become a major ETH holder. The funding round includes notable investors such as Pantera, Founders Fund, Galaxy Digital, Kraken, and DCG. BitMine plans to use ETH for staking and DeFi protocols.
Technical Analysis
Key Observations:
- 24-hour ETH decline: 3.3%, from $2,500.88 to $2,418.39.
- Price broke below the $2,460 support level.
- Steepest decline at 14:00 UTC, reaching $2,404.47.
- Recovery attempts stalled near $2,430, with resistance around $2,445.
- Between 20:01 and 21:00 UTC, declining volume suggests potential short-term exhaustion.
- Overall bearish trend continues.
Disclaimer: This analysis was reviewed by our editorial team.
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