Ether struggles under sell-off pressure as liquidity tightens and big holders accumulate​

​​​Ether update

​Ether (ETH) has spent the past few weeks under significant pressure, mirroring the broader downturn across digital assets, yet on-chain activity and institutional behaviour suggest the market is far from one-sided.

​In November Ether slipped towards the $2,600.00 region as risk-off sentiment intensified across global markets, driven by concerns about Federal Reserve (Fed) policy and heavy liquidations in speculative assets.

​Ether then managed to recover towards the $3,100.00 mark, only to seriously slide again – to the $2,800.00 region - on the first day of December, despite Fed rate cut expectations for December having dramatically increased to 87% and risk-on sentiment driving stock markets higher.

​Analysts noted that ETH-based exchange-traded funds have underperformed their Bitcoin equivalents, with some studies pointing to deeper cost-basis losses in Ether ETFs, reinforcing the perception that ETH is currently being treated as a riskier asset class.

​The deterioration of liquidity has also been a recurring theme in recent ETH market commentary. As weekend trading thinned and volatility increased, Ether fell to multi-month lows alongside Bitcoin, with lower order-book depth contributing to sharper price moves and reduced institutional activity. 

​Market participants suggested that at least one major market-maker had scaled back operations, intensifying the liquidity crunch that has been evident since early November.

​At the same time, there has been some counter-trend behaviour by large-volume investors. A notable development came from BitMine Immersion, which reportedly acquired around $173 million worth of Ether in recent weeks. This accumulation occurred despite the broader downtrend and has fuelled speculation that large players may be positioning ahead of a future recovery in the Ethereum ecosystem.

​Some analysts, however, caution that the buying could reflect strategic inventory adjustments rather than outright bullish conviction, given the broader strain in digital-asset liquidity.

​Together, these developments paint a picture of an asset under pressure but not without signs of accumulation or strategic interest.

​Ether’s recent price action has been dominated by macroeconomic anxieties, thinner liquidity and ETF-related weakness, yet major inflows from select large holders and projections for potential upside have ensured that sentiment has not turned universally bearish.

​Whether Ether can stabilise will depend heavily on how global markets evolve in the coming weeks - particularly in relation to interest-rate expectations, institutional positioning and risk appetite across digital assets.

​​Ether bearish case:

​While Ether remains below its 28 November high at $3,097.96, the August-to-December downtrend remains intact.

​A fall through the 1 December low would put the 21 November trough at $2,622.43 back on the map. Failure there is likely to lead to the 9 February low and 2 March high at $2,549.44-to-$2,524.20 and perhaps also the mid-May, early June and early July lows at $2,387.06-to-$2,328.10 to be reached next.

​Ether bullish case:

​Were Ether to rise and close on a daily basis above its 1 December $2,999.18 high, the late November peak at $3,097.96 would be back in the frame. It would need to be exceeded, though, for a medium-term bullish reversal to become possible.

​In this scenario the 16 November peak at $3,247.21 would be in focus.

Ether daily candlestick chart