Ethereum News Today: Ethereum Pressures Near $2,856 as Whales Accumulate and DATs Sell

Ethereum (ETH) is navigating a complex landscape as it heads into 2026, with mixed signals from on-chain metrics and fundamental developments. After a volatile 2025, the price of ETH closed the year at $2,930, down 12% from its $3,336 starting point. The year saw sharp corrections, driven by regulatory uncertainty and Trump-era tariffs, but also notable recoveries fueled by Pectra and Fusaka upgrades according to market analysis.

Institutional interest in Ethereum has grown, with digital-asset treasuries (DATs) accumulating over 5.87 million ETH by late December. These companies, such as BitMine and SharpLink Gaming, have become key price drivers, although recent market downturns have tested their resilience. The Trump administration's pro-crypto policies, including the GENIUS and anticipated CLARITY Acts, are expected to further bolster institutional adoption according to market analysis.

Exchange-held ETH supply has dropped to 16.24 million, a 21% decline from January 2025. This suggests reduced retail exposure and increased whale accumulation, as wallets holding over 10,000 ETH added 8.99 million tokens to their portfolios over the year. On-chain metrics such as the Market Value to Realized Value (MVRV) ratio indicate investors are currently holding a 22% average gain, but with bearish sentiment still lingering.

Ethereum's Price Volatility and Market Sentiment

ETH's price trajectory in 2025 was marked by sharp divergences, including a 45% decline in Q1 and a 37% rebound in Q2 following the Pectra upgrade. The year's highest point was a record $4,956 in August, but by late October, Trump's tariff threats and MSCI's exclusion of crypto treasuries triggered the largest single-day liquidation in crypto history, wiping out $19 billion.

Despite these setbacks, Ethereum's market fundamentals show some promise. Stablecoin value on Ethereum grew to $165 billion by year-end, and tokenized real-world assets expanded to $12.18 billion. These developments suggest a growing institutional footprint, with companies like JP Morgan and BlackRock building on the Ethereum blockchain.

Institutional Adoption and Regulatory Clarity

The Trump administration's favorable regulatory stance is a critical tailwind for Ethereum in 2026. The new SEC and CFTC leaderships have signaled openness to crypto innovation, with the Depository Trust & Clearing Corporation (DTC) receiving no-action relief to tokenize assets on blockchains according to market analysis. This regulatory clarity could accelerate Ethereum's adoption in traditional finance, particularly in tokenized money markets and security offerings.

Ethereum ETFs also played a pivotal role in 2025. They saw $3.13 billion in inflows in late 2024 and early 2025 before experiencing outflows in Q1 due to macroeconomic concerns. However, they rebounded strongly between May and August, coinciding with the DATs-driven ETH rally. BlackRock's Ethereum Trust (ETHA) became the largest ETF, reaching $10.69 billion in assets by December, highlighting growing institutional confidence in the asset class.

Risks to the Outlook

Despite Ethereum's strong institutional tailwinds, several risks could hinder its 2026 prospects. Digital-asset treasuries (DATs) have faced liquidity challenges as their market NAV ratios dropped below 1, forcing some to sell ETH to fund share repurchases. This was exemplified by FG Nexus, which sold nearly 11,000 ETH in November to stabilize its shares. If DATs underperform over the long term, this could create a negative feedback loop for ETH prices.

Whale activity and institutional ETF outflows also pose near-term risks. A major whale deposited 17,823 ETH into Binance in late 2025, realizing $15.36 million in profits, while spot ETFs recorded $533.25 million in outflows over five days according to market analysis. This combination of whale and institutional selling has kept ETH under pressure near $2,856 and below its 200-week EMA.

What This Means for Investors

Investors entering 2026 should monitor several key indicators. The Stochastic Oscillator has remained in oversold territory for over six weeks, a pattern historically followed by major price rebounds according to technical analysis. ETH must establish support near $5,000 before it can realistically break out of its 2021 range. On-chain data also suggests that whale accumulation and reduced retail exposure could lead to a more concentrated ownership structure, which may favor long-term price stability according to market analysis.

For those with a longer time horizon, Ethereum's growing role in tokenization and institutional finance offers compelling opportunities. The Ethereum Foundation's focus on L2 scaling and blob expansion aligns with increasing demand for data availability and real-world asset tokenization according to market analysis. If macro conditions improve and institutional demand continues to scale, Ethereum could see significant upside in 2026.