ETH (Ethereum) down 5.00% in the last 24 hours

Gate News Bot Message, February 5th, according to CoinMarketCap data, as of press time, ETH (Ethereum) is currently priced at $2,160.81, down 5.00% in the past 24 hours, with a high of $2,823.91 and a low of $2,109.06. The 24-hour trading volume reached $44.96 billion. The current market capitalization is approximately $260.795 billion, ranking second globally.

Ethereum is an open-source decentralized blockchain network and software development platform driven by the cryptocurrency Ether (ETH). As a next-generation unstoppable application security and global infrastructure, Ethereum is open to everyone, permissionless, built and maintained by thousands of individuals, organizations, and users worldwide.

Ethereum (ETH) is the native cryptocurrency that powers the network, used for paying transaction fees and securing the blockchain through staking. Beyond its technical role, ETH is an open, programmable digital currency used for global payments, collateral for loans, and a store of value independent of any central entity.

Important Recent ETH News:

1️⃣ Liquidity Distribution in Derivatives Market Determines Short-term Support and Resistance At the current price range, if ETH continues to fall below $2,863, the liquidation of long positions on major CEXs will reach $1.274 billion, making this price level a critical risk threshold during the downward move. Conversely, if it breaks above $3,163, short position liquidations will reach $1.215 billion. In the past 24 hours, the entire network experienced $346 million in liquidations, including $34.7477 million in Ethereum long positions and $17.4024 million in shorts, indicating intense competition among market participants at current price levels. Large short positions continue to accumulate, with a whale shorting 2,200 ETH at 25x leverage, with an average entry price of $2,950.69, facing unrealized losses at current prices, but the scale and frequency of operations suggest short sellers are still increasing their bets.

2️⃣ Institutional Staking Reaches New Highs, Long-term Bullish Attitude Contrasts with Short-term Price Pressure Bitmine has continued increasing its ETH staking positions over the past week, with total staked ETH surpassing 2.5 million, worth $74.5 billion. The institution earns over $1 million daily from staking rewards, demonstrating strong confidence in Ethereum’s long-term network value and yield stability. The total staked ETH reduces circulating supply, providing long-term support, but this effect has not yet offset recent macro risk aversion and technical short-term bearish pressures. Huang Licheng also added about 1,200 ETH to his long positions, lowering his average cost to $2,977, despite still being in a floating loss, reflecting some institutional funds increasing their positions at lower levels.

3️⃣ Spot ETF Inflows Remain Positive but Weakened, Institutional Allocation Becomes More Cautious Over the past week, Ethereum spot ETFs have maintained net inflows, with daily inflows reaching $28.0951 million, led by BlackRock’s ETH A with a daily net inflow of $27.3431 million. However, this inflow momentum has noticeably slowed compared to previous periods, indicating reduced enthusiasm among institutional investors at current price levels. The ETF’s net assets account for 5.01% of Ethereum’s total market cap, showing institutional participation is significant, but the divergence in daily flows—some products experiencing slight outflows—suggests ongoing uncertainty about the market’s direction, mainly reflecting phase-based position adjustments rather than a concentrated risk appetite increase.

4️⃣ Ecosystem Infrastructure Accelerates, Long-term Application Demand Supports Value Expectations Significant progress has been made in infrastructure development within the Ethereum ecosystem this cycle. Bitmine continues to deepen staking strategies for stable yields. Sony’s innovation fund has invested an additional $13 million in Startale Group for Soneium ecosystem development, covering wallets, asset management, and stablecoins. On the research front, the integration of FOCIL anti-censorship core functions into Hegota upgrade enhances the network’s censorship resistance and neutrality. These multi-layered ecosystem improvements demonstrate long-term participants’ confidence in Ethereum as a foundational infrastructure for applications, though such fundamental support remains limited in the face of short-term liquidity pressures.

This message is not investment advice; please be aware of market volatility risks.