Ethereum News Today: Ethereum's Survival Test: Bearish Squeeze vs. Fusaka Upgrade and Treasury Buys

Ethereum (ETH) is navigating a precarious market environment as large-scale short selling by institutional players and platforms raises the specter of a short squeeze following November's volatility. The token trades near $2,800–$2,850 as of 24 November 2025, having lost roughly 28% of its value over the past month despite modest gains in recent days according to market data. The total crypto market cap hovers around $3 trillion, with spot Ethereum ETFs logging fresh inflows amid cautious optimism, though Bitcoin ETFs have seen record outflows, led by BlackRock's $523 million in redemptions-the largest single-day withdrawal since their launch.

The bearish pressure is compounded by macroeconomic headwinds. U.S. interest rate cut expectations have dwindled, with markets now pricing in a 46% chance of a 25-basis-point cut at the December Fed meeting, down sharply from 93.7% a month ago. This has spurred "smart money" traders to add $5.7 million in short positions on Bitcoin and Ethereum, signaling a risk-off sentiment according to market analysis. Meanwhile, Ethereum's technical outlook remains mixed. Analysts highlight resistance near $2,870–$2,960 and critical support levels at $2,720, $2,400–$2,500, and even $2,200 if selling persists.

A key counterbalance to the downward pressure is BitMine Immersion's aggressive accumulation of Ether. The listed treasury giant has added nearly 70,000 ETH over the past week, bringing its holdings to 3.63 million ETH-roughly 3% of the total supply-and making it the dominant public Ethereum treasury. Despite an estimated $3.7 billion in unrealized losses on its position, BitMine's buying spree has injected $24 billion in 24-hour spot volume, temporarily stabilizing prices near $2,830. Competitors in the digital asset treasury space, however, face sustainability concerns. BitMine's market-to-nav (mNAV) ratio stands at 0.77, complicating further capital raises, while BlackRock's proposed staked ETH ETF could disrupt the sector by offering a low-cost alternative to opaque DAT structures.

The December Ethereum upgrade, codenamed "Fusaka," looms as a potential catalyst. Designed to enhance scalability via EIP-4844, the upgrade could bolster Ethereum's appeal for DeFi and real-world asset (RWA) tokenization, which has already surpassed $7.4 billion in value. Analysts at Coindcx and Brave New Coin argue that defending the $2,400–$2,500 support zone is critical for a recovery toward $4,000, though bearish candlestick patterns and rising sell-side volume suggest fragility in the current structure.

Market participants remain divided on Ethereum's trajectory. Short-term traders are advised to monitor the $2,870–$2,900 resistance band, with a breakdown risking a retreat to the $2,200s. Longer-term bulls, however, point to institutional forecasts spanning $2,200 to $7,000, hinging on macroeconomic developments, ETF flows, and the success of the December upgrade. With BitMine's treasury strategy and regulatory tailwinds creating a tug-of-war between bears and bulls, the coming weeks will test whether Ethereum can stabilize above the mid-$2,000s or succumb to a deeper correction.

Institutional adoption continues to expand, with Grayscale's Dogecoin ETF (GDOG) launching on NYSE Arca as the first U.S.-listed spot product for the meme coin. While not ETH-specific, the move underscores regulators' growing comfort with crypto-backed securities, potentially spurring broader institutional inflows. BlackRock's parallel push to launch a staked ETH ETF -structured to yield 3–4% annually- could further reshape the landscape by offering a transparent alternative to existing DATs.