Ethereum News Today: BitMine's $0.01 Dividend: Staking ETH to Spark a Recovery?

Ethereum (ETH) traded below $2,750 on Friday, extending its decline amid heightened selling pressure from U.S. investors and mixed signals from the ETF market. The drop, part of a broader crypto downturn, comes as key industry players signal new developments that could reshape ETH's trajectory.

Ethereum spot ETFs ended an eight-day outflow streak with Fidelity's FETH product leading $55.71 million in net inflows on November 21. However, the ETH price failed to reclaim the $2,800 level, falling 12.9% over seven days and 28.9% in 30 days. BlackRock's ETHA fund posted $53.68 million in outflows, highlighting ongoing investor caution.

The ETF activity follows a turbulent month for Ethereum, which has seen $1.3 billion in redemptions since November 11. Analysts attribute the weakness to macroeconomic uncertainty and competition from Bitcoin, which has outperformed ETH in recent months.

Amid the downturn, Ethereum treasury firm BitMine announced plans to become the first major crypto company to pay dividends to shareholders. The firm reported a $328 million net income and declared a $0.01 per share dividend, payable on December 29. BitMine also revealed it will begin staking its 3.55 million ETH holdings via its Made in America Validator Network (MAVAN) in early 2026.

The move aims to generate passive income for the firm while stabilizing its average cost basis. BitMine's chairman emphasized confidence in Ethereum's long-term recovery, despite unrealized losses on its holdings nearing $4 billion.

While the content does not explicitly mention a "major bank leak," the broader context includes Vitalik Buterin's recent hints at a new use case for Ethereum. BitMine's MAVAN staking initiative aligns with Ethereum's post-merge focus on validator networks, potentially boosting demand for ETH as a staking asset.

Technical indicators remain bearish, with ETH struggling to break above $3,000 and key support levels at risk. However, analysts note asymmetric risk/reward potential, with a 5%-7% downside versus a possible "supercycle" if the network upgrades and staking adoption gain momentum.

The Ethereum price prediction for 2026 remains cautiously optimistic, with some forecasts projecting a 68% rise by the end of the year. Meanwhile, projects like DeepSnitch AI, which leverages AI for market intelligence, are attracting attention as alternatives to volatile tokens like Hyperliquid's HYPE, which faces a $314 million token unlock.

As the market digests these developments, Ethereum's ability to stabilize ETF inflows and deliver on new use cases will be critical for reversing its recent underperformance.

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