BitMine Accumulation and Institutional Demand Sustain Ethereum's $2,200 Defense Line

▲ Ethereum (ETH) ©

BitMine's massive accumulation and institutional capital inflow are supporting Ethereum's $2,200 defense line, but short-term charts have not yet confirmed a full rebound.

According to investment media outlet FXStreet on April 27 (local time), Ethereum (ETH) was trading around $2,280 on that day. Ethereum treasury company BitMine Immersion Technologies acquired an additional 101,901 ETH last week, increasing its holdings to 5,078,000 ETH.

This acquisition included 10,000 ETH secured through an over-the-counter (OTC) transaction with the Ethereum Foundation. Thomas Lee, chairman of BitMine, stated, "This is an important milestone towards our goal of securing 5% of the Ethereum supply," adding, "The pace of accumulation, reaching 5 million ETH in 10 months, is astounding."

BitMine additionally staked 366,952 ETH last week, increasing its total staked amount to 3.7 million ETH. The estimated annual staking yield from this is $264 million. However, according to smart money tracking firm Lookonchain data, BitMine is currently recording unrealized losses of $6.343 billion.

Institutional demand also continued. According to CoinShares' digital asset report, Ethereum investment products recorded net inflows for three consecutive weeks, with inflows totaling $192 million last week. The improved risk asset sentiment, partly due to renewed hopes for peace negotiations between the US and Iran, is also believed to have supported Ethereum demand.

Short-term price movements remain cautious. Ethereum recorded liquidations worth $153.7 million in the last 24 hours, with long position liquidations amounting to $97.8 million. Chart-wise, it is fluctuating between the 20-day exponential moving average of $2,291 and the 50-day exponential moving average of $2,240, showing a neutral to slightly bearish trend.

Upper resistance is formed around the 100-day exponential moving average of $2,370 and the horizontal resistance line of $2,388. If these are surpassed, $2,746 and $3,411 are mentioned as the next targets. Conversely, if the 50-day exponential moving average and the $2,211 support line break down, selling pressure could extend to $2,107, $1,909, and even deeper to $1,741.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*