Ethereum’s recent dip below the $2,200 mark seems to have had no impact on large scale accumulation from institutions. And even more so, it encouraged aggressive buying from some of the largest players in the market. For instance, Bitmine took the opportunity to significantly increase their Ethereum holdings as they have now reached 5.4M ETH.
Bitmine Continues Its Aggressive Ethereum Strategy
Recently, Bitmine revealed that it has added 111,942 ETH in the past week. That makes it one of the biggest corporate holders of Ethereum in the world as the company now holds nearly 5.4 million ETH.
Chairman Tom Lee claims that this was done as a result of the ETH price going below the $2,200 mark. He said that Bitmine views this pullback as an attractive buying opportunity.
Lee also claims that a supercycle could be ahead for Ethereum and the crypto market as a whole. He bases this prediction on two factors: Wall Street tokenizing on the blockchain which means turning real-world assets like real estate into blockchain tokens and agentic artificial intelligence needing public and neutral blockchains.
Ethereum Price Continues Dropping
When it comes to the ETH price, it has been bleeding on the charts. CoinMarketCap shows that the value of Ethereum dipped from around $2,130 to $2,080 in the past seven days. This is just a continuation of the monthly downtrend which saw the ETH price drop over 10%.
Its immediate support level sits at $2,075 which is the level the ETH price closed at in the previous trading session. If that fails, ETH could see a dip to the $2,052 level which is the low for the current session. The long-term support level sits at $2,006 and if it drops below that it could signal a big bearish shift.
On the other hand, the immediate resistance level is $2,103 for the ETH price. A jump above this level could lead to a pump to $2,125 which is a stronger resistance barrier. In the long term, the resistance level that needs to be broken is the zone between $2,138 - $2,212 where multiple MACD signals converge.
Technical Indicators Paint a Mixed Picture
The technical indicators for Ethereum are also showing some mixed signals. For example, the 14-day RSI indicator now has a value of 75 as per TradingView. This suggests that ETH may be overbought. In other words, the price of ETH could see more pullback soon which is bearish in the short term.
Meanwhile, bulls are still in control as the 13-day bull/bear power indicator has a value of 5.7. The green bars rising paint a picture of bulls controlling the market momentum at the moment.
Keep in mind that the RSI indicator looks at the momentum of a crypto while the bull/bear power indicator focuses on its value relative to a moving average. This means the longer-term price trend and strength is in the hands of buyers despite the bearish short-term potential.
A Potential Ethereum Supercycle?
Ethereum's market structure looks quite different from the previous cycles which was made of retail speculation. Today, more corporations like Bitmine and ETF issuers want to take advantage of it. Alongside that, the broader crypto market is seeing benefits as Wall Street tokenization and agentic-AI take off according to Tom Lee.
He believes these ongoing trends are beginning to create an environment that can initiate a new broader crypto supercycle. Granted, this is long-term speculation. For now, the immediate concern for ETH should be a recovery above the $2,200 mark and potentially reaching the 1-month high of $2,424 before any supercycle starts. It has failed to do that in the last few days.
Can ‘tokenization + AI’ really drive the next supercycle, or is it just another hype narrative? If interested, feel free to vote on this poll and tell us how you came to that conclusion in the comments.
