Ethereum Structural Risk Rises as Bitcoin Inflows Dominate
10x Research warns that Ethereum faces growing structural risk as institutional capital shifts into Bitcoin, depleting ETH treasuries like BitMine, which exhausted buying power after accumulating 3.3 million ETH at $3,909. Ether has slid over 20%, echoing October’s crash, and recent sell-offs triggered nearly $1 billion in leveraged liquidations. Technical indicators—a topping weekly stochastic and a failed multiyear wedge breakout—suggest a breach of $3,000 could open the path to $2,700–$2,800 support. Traders are advised to monitor institutional flows, key support zones and broader market risk, with shorting ETH proposed as a hedge against Bitcoin volatility. These warnings highlight Ethereum structural risk and transparency challenges that may deepen market volatility.
Bearish
The news is bearish because a shift of institutional capital into Bitcoin weakens Ethereum’s fundamentals, while technical indicators point to potential breakdown of critical support levels. In the short term, a breach of $3,000 could trigger a slide to $2,700–$2,800 and prompt further liquidations. In the long term, depleted ETH treasuries and growing transparency and scalability concerns heighten structural risk and may amplify market swings, making downside more likely.