As 2025 draws to a close, Ethereum finds itself locked in a decisive struggle. Trading activity over the Christmas period has been confined to a narrow range, setting the stage for a potential directional shift. The focal point for traders is the psychologically significant $3,000 level, with institutional players and wealthy investors taking starkly different positions.
Divergent Institutional Strategies
A clear schism is emerging among major market participants. On one side, the largest institutional holder of Ethereum, BitMines Immersion, is currently facing substantial unrealized losses estimated at approximately $3.5 billion. The firm has maintained its position, characterizing the market correction as a temporary phase.
In a powerful counter-narrative, other large-scale investors are aggressively accumulating. Trend Research, the investment vehicle of Yi Lihua, executed a significant purchase of $137 million worth of Ethereum on December 24. The firm now holds a total position valued at $1.72 billion. Yi Lihua has publicly stated plans to invest an additional $1 billion, labeling the current price environment a “historic opportunity.”
This accumulation is reflected in on-chain data, which shows a pronounced movement of Ethereum away from exchanges and into private wallets—a pattern typically associated with long-term holding strategies. This migration is reducing immediate sell-side pressure on the market.
Technical Analysis Points to a Crucial Juncture
From a chart perspective, Ethereum’s price action has formed a constricting triangle pattern, which often precedes a substantial breakout. On December 25, the asset traded between $2,913 and $2,950, remaining notably below its key moving averages, which now act as a persistent resistance zone.
Should investors sell immediately? Or is it worth buying Ethereum?
Technical analysts identify $2,880 as the critical near-term support level. A decisive break below this point could open a path toward the $2,600 region. Conversely, for a sustainable bullish move to gain traction, Ethereum must reclaim and hold above the $3,050 threshold.
Development Roadmap Gains Clarity
Beyond price action, Ethereum’s development pipeline is advancing. Following the Fusaka upgrade, core developers have confirmed the next major steps. The Glamsterdam update, slated for the first half of 2026, aims to enhance network decentralization through a mechanism called “Enshrined Proposer-Builder Separation.”
Subsequently, the Hegota upgrade—officially named on December 22—is planned for the latter half of 2026. This update is designed to create a more seamless connection between the execution and consensus layers and to simplify node operation via improved storage management.
Year-End Outlook
Ethereum enters the final days of 2025 at a crossroads. The substantial paper losses of BitMines Immersion contrast sharply with the bullish conviction displayed by Trend Research’s aggressive buying, suggesting sophisticated investors may believe a market bottom is near. With trading volumes typically thinner during the holiday season, even modest order flow could trigger amplified price movements. All eyes remain fixed on the $2,880 support level, the breach or defense of which will likely set the tone for the new year.
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