"Ethereum Drops 11.4% Amid Market Slump; Bulls See Opportunity in Stablecoin Dominance and Regulatory Shifts"

Ethereum (ETH) has experienced a significant downturn in the past 24 hours, with a 11.4% decrease, reflecting a broader market decline that saw Bitcoin (BTC) drop by 8%, XRP by 13.6%, and Solana (SOL) by 12.9%. Despite the overall bearish sentiment, several prominent figures, including CryptoQuant CEO Ki Young Ju, have expressed optimism about Ethereum's prospects.

Ki Young Ju shared his bullish thoughts on ETH via X, highlighting the lack of significant sell pressure despite the recent Bybit hack. He pointed out that both on-chain and market data remain neutral, with exchange selling taking time and over-the-counter (OTC) offloads having minimal impact on the price. Ju also emphasized Ethereum's dominant share of the stablecoin market cap, currently around 56%, and the potential regulatory shifts under the Trump administration that could spur further adoption of ETH-based stablecoins and smart contracts in 2025.

Ju referenced additional catalysts, such as the already approved ETH spot ETF, suggesting that a Large Cap ETF altseason might be on the horizon for Ethereum. He also noted that BlackRock's ETH spot ETF holdings increased by 124% over the past three months. Furthermore, Ju highlighted growing whale accumulation, with addresses holding 10,000 to 100,000 ETH increasing their balances by 24% over the past year, nearing the cost basis of accumulating addresses.

However, Ju admitted he was surprised by the overwhelmingly bearish mood on Crypto Twitter, with many users citing the dropping price as their reason for selling. He encouraged users to share data-driven analysis supporting their bearish thesis.

AdrianoFeria.eth, an ETH community member, challenged the doom-and-gloom market narrative and urged investors to focus on high-level institutional and political signals favoring Ethereum. He cited reports of the US President and family purchasing "hundreds of millions of dollars worth of ETH," BlackRock's endorsement of tokenization, and Bybit's need to buy large quantities of ETH to cover its hack, potentially fueling more demand.

Popular crypto analyst IncomeSharks weighed in by posting a chart showing a buy zone above $2,400,