Foreign media reports that Tom Lee's Bitmine has again increased its holdings of Ethereum, purchasing 25,000 ETH, worth approximately $50.56 million according to the article. The article interprets this purchase as a signal that institutions are continuing to increase their ETH holdings, but also points out that spot exchange data does not show any obvious signs of concentrated accumulation.
Institutions continue to buy ETH
This new holding comes amid continued pressure on ETH. The article argues that large treasury purchases typically reduce the immediate circulating supply in the market, especially when assets are transferred to long-term holding addresses rather than returning to exchanges.
However, judging from exchange flows, the market did not show a clear bias. There was neither a large-scale influx of ETH nor a significant acceleration in withdrawals during the same period, indicating an overall neutral performance. This suggests that while institutions are buying, broader market participants have not yet reached a consensus.
The area around $2,000 has become a short-term support level.
The article states that ETH has recently fallen back to around $2,000, having failed to hold higher levels after several previous attempts to break through. Within the daily chart range, the $2,198 area has repeatedly encountered resistance, and the $2,400 area is also considered a stronger resistance zone.
According to the data in the article, ETH was priced at approximately $2013 at the time, not far from a key support level. If $2000 were breached, the market could potentially test lower liquidity levels; if buying pressure held this level, the price could retest the $2198 area.
The article also mentions that the Relative Strength Index (RSI) has fallen to 33.05, approaching the oversold zone, with its moving average at 35.61. Based on this, the author believes that buying momentum has weakened since May, but similar levels have previously corresponded to periods of price stabilization.
Liquidation levels are clustered above $2030 to $2040.
The liquidation heatmap shows a dense cluster of short covering positions in the $2030-$2040 range above ETH. This range is not far above the current price, and a price rebound and break through it could trigger a round of short covering.
At the same time, there is also a significant area of lower liquidity between $2,000 and $1,980. The article argues that market prices tend to move towards areas with more concentrated liquidation, therefore both of these ranges are worth watching.
Overall, this commentary concludes that Bitmine's continued buying has provided institutional demand support for ETH. However, with exchange flows remaining relatively neutral, the short-term market direction still depends on whether the $2,000 support level holds and whether the liquidation zone above is triggered.
