Major ETH stakeholders have been distributing into thin liquidity, triggering forced selling and billion-dollar liquidations that breached key support around $1,960. On-chain flows—including a surge in poison transactions—are diverging from price action. The one-month chart shows a compression flag between roughly $2,112 resistance and micro support near $1,960, and a structurally weak corrective bounce is testing that resistance. A breakdown risks deeper losses while a decisive push above $2,136 would be needed to shift momentum higher.

USDC usage on Ethereum has surged to record highs while the Fusaka upgrade has slashed transaction fees by about 90%, yet mainnet still generated $39 million. Ethereum maintains strong execution with over 496 000 ETH in treasury and a growing developer ecosystem with proven longevity.

Ethereum dominates tokenized asset settlement and stablecoin clearing but suffers from slow, expensive transactions and weakened fee burns that threaten security and institutional adoption, even as decentralization and network effects reinforce its competitive moat.

Broken supply narratives and institutional reluctance around $2,200 have dampened sentiment from neutral to cautious, even as bold price forecasts, unwavering developer confidence, and visions of Ethereum evolving into the global financial ledger fuel fervent bullish narratives.