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Blockchain
Ethereum currently presents a study in contrasts. While a major financial institution makes a significant move onto its blockchain, the asset’s price faces substantial headwinds from leveraged trading and broader economic concerns. This divergence highlights the complex forces shaping the world’s leading smart contract platform.
Amid recent price volatility, a pivotal development emerged on the fundamental front. JPMorgan Asset Management has launched its first tokenized money market fund directly on the public Ethereum blockchain. The “My OnChain Net Yield Fund” (MONY) represents a concrete step toward institutional blockchain utilization.
Operated through the Kinexys digital assets platform, the fund permits qualified investors to subscribe and redeem using stablecoins or fiat currency. A notable commitment is JPMorgan’s own investment of $100 million into the vehicle. This substantial capital allocation signals the financial giant’s active deployment of Ethereum’s public infrastructure, moving beyond mere experimentation.
This initiative reinforces Ethereum’s dominant position in the Real World Assets (RWA) sector, which involves tokenizing traditional assets like funds and bonds. Ethereum currently commands approximately a 70% market share in this segment, with over $12 billion in Total Value Locked (TVL). The MONY fund aligns with a growing Wall Street trend of migrating conventional financial products on-chain.
Contrasting with this institutional progress, Ethereum’s market performance has weakened. ETH is trading near $2,924, firmly below the psychologically significant $3,000 level. The asset has declined roughly 6% over the past week and nearly 8% over the monthly period, sitting more than a third below its 52-week high.
A primary catalyst for the recent downturn is a wave of forced liquidations in derivatives markets. Across the broader crypto sector, nearly $400 million in positions were liquidated within a 24-hour window. Ethereum traders were disproportionately affected, with approximately $174 million in ETH positions closed. Over 90% of these were long bets, indicating that highly leveraged wagers on rising prices were abruptly unwound.
From a technical perspective, the short-term outlook appears challenged. The price trades notably below the 50-day moving average, situated around $3,244, which now acts as resistance. The Relative Strength Index (RSI) reads 42, below the neutral 50 line, suggesting diminished buying momentum. Chart analysts identify support zones just above $2,900 as critical; a breach could trigger additional selling pressure.
On-chain data reveals significant shifts in Ethereum’s economic activity. The Ethereum mainnet’s annualized revenue has fallen sharply in 2025, dropping from approximately $2.52 billion at the start of the year to around $604 million currently.
This decline is largely attributed to the rapid ascent of Layer-2 scaling solutions like Base, Arbitrum, and Optimism. These networks now handle a substantial portion of transaction volume, retaining the majority of associated fees. Estimates suggest only about 8% of total fees generated across the ecosystem currently flow back to the Ethereum mainnet for final settlement. This dynamic confirms the success of Ethereum’s scaling roadmap while simultaneously pressuring the base layer’s direct revenue in the near term.
Simultaneously, blockchain data indicates strong accumulation by large-scale investors, signaling long-term confidence. BitMine Immersion (BMNR), the world’s largest publicly traded ETH treasury holder, has further expanded its holdings. The firm now possesses 3.97 million ETH, a stash valued at over $12.2 billion.
Its most recent acquisition added 102,259 ETH, worth approximately $320 million. This pattern of accumulation suggests that major market participants view the current price weakness as a buying opportunity to strengthen their positions rather than a reason to exit.
Ethereum’s pressure is not occurring in isolation but forms part of a broader cryptocurrency market correction. Bitcoin, for instance, recently slipped below $87,000. Macroeconomic uncertainties are central to current investor concerns.
Market attention is focused on the Bank of Japan, which is scheduled to discuss a potential interest rate hike between December 18th and 19th. Historically, BoJ rate increases have often precipitated the unwinding of yen carry trades, a process where investors close out leveraged positions in riskier assets—including cryptocurrencies.
On the regulatory front, the landscape in the United States shows tentative signs of improvement. Reports indicate that under the new administration, the SEC has paused or closed approximately 60% of older crypto enforcement cases. This trend could reduce regulatory headwinds heading into 2026, though it does little to alleviate short-term market volatility.
In summary, Ethereum is caught between two competing narratives. The short-term picture is dominated by a weak market, significant leverage unwinding, a price below key moving averages, and fragile technical levels.
Opposing this is a story of structural advancement: JPMorgan’s landmark tokenized fund, Ethereum’s growing dominance in the RWA sector, and the steadfast accumulation by large holders like BitMine Immersion.
In the immediate future, the support zones near $2,900 and the upcoming policy decision from the Bank of Japan will likely dictate price direction. For the medium to long term, the critical question is whether the accelerating institutional adoption of Ethereum—through tokenized funds and a maturing Layer-2 ecosystem—will ultimately overshadow the present period of price decline.
Bitcoin faces continued selling pressure, with its price falling below the $86,000 threshold on Tuesday. A clash of narratives is emerging: while macroeconomic uncertainty and significant liquidations weigh on sentiment, on-chain activity reveals a more complex picture. Behind the scenes, major institutional players are treating the dip as a buying opportunity, even as some short-term traders exit their positions.
Undeterred by the price weakness, the company formerly known as MicroStrategy—now operating under the name “Strategy”—has continued its aggressive accumulation strategy. Between December 8th and 14th, the firm purchased an additional 10,645 Bitcoin for nearly one billion dollars.
The company now holds a total of 671,268 BTC, representing over 3% of the entire Bitcoin supply. Despite the recent price decline, its average purchase price remains approximately $75,000, keeping the company’s holdings in profitable territory. This move reinforces founder Michael Saylor’s well-documented tactic of using price weakness for systematic accumulation.
From Europe comes another signal of long-term institutional adoption. Germany’s Nordrheinische Ärzteversorgung (NAEV) pension fund has successfully concluded a two-year pilot phase and has formally integrated Bitcoin into its investment portfolio. The fund intends to increase its allocation to as much as 0.5% of its total assets, equivalent to roughly 85 million euros. Rather than pursuing short-term speculation, the pension chamber’s approach focuses on broad diversification across the top ten cryptocurrencies and specialized blockchain equity funds.
The world’s leading cryptocurrency is currently trading about 30% below its all-time high recorded in October. A primary catalyst for the recent sell-off is a severe liquidity squeeze within the market. In just the last 24 hours, over $470 million worth of cryptocurrency derivatives positions were forcibly liquidated, with the majority being bullish long bets.
Adding to the nervousness is the outlook for the U.S. economy. Market participants are anxiously awaiting upcoming labor market data. A report that comes in stronger than expected could dampen hopes for aggressive interest rate cuts from the U.S. Federal Reserve, thereby placing further pressure on risk assets like Bitcoin.
The short-term market mood remains tense, as reflected by a key sentiment index currently mired deep in “fear” territory. The critical technical test now is whether Bitcoin can defend the psychologically significant support level at $85,000. Holding above this line, combined with sustained institutional buying, could lay the groundwork for a price floor. Conversely, a decisive break below this support is likely to trigger a fresh wave of selling pressure.
The gold market is exhibiting exceptional strength in 2025, once again challenging its all-time peak. This rally is being propelled by a confluence of supportive factors: declining U.S. interest rates, a noticeably weaker dollar, and sustained, robust purchasing by central banks and exchange-traded funds. The immediate trajectory now hinges on upcoming U.S. economic data, which will determine whether the advance accelerates or pauses for breath.
The precious metal is consolidating near record territory after a five-day winning streak. Key metrics illustrate its current position:
The most recent impetus stemmed directly from the U.S. Federal Reserve. On December 10, the central bank reduced its benchmark interest rate by 25 basis points to a range of 3.50% to 3.75%. Concurrently, it announced a monthly purchasing program for short-term U.S. Treasury bonds worth $40 billion. This dual action has pressured bond yields, enhancing the appeal of non-yielding gold. The week following the decision saw the metal close with a 2.5 percent gain.
Market pricing now reflects a 76 percent probability of an additional 25-basis-point cut in January. Supportive commentary from Fed officials, including Governor Stephen Miran’s description of policy as “unnecessarily restrictive,” has further buoyed sentiment.
For 2025, five primary drivers are underpinning gold’s performance:
The U.S. Dollar Index, at 98.35 points, is hovering near its lowest level in two months. A softer dollar makes gold cheaper for holders of other currencies, thereby amplifying international demand.
Beyond monetary policy, structural sources of demand are providing a solid floor for prices. Central banks have re-emerged as major buyers in 2025. Official reserves grew by 53 tonnes in October alone, bringing the year-to-date total accumulation to 254 tonnes.
Specific national strategies highlight this trend:
Poland increased its holdings by 16 tonnes in October, reaching 531 tonnes.
China expanded its gold reserves for the 13th consecutive month, with reserves now standing at 74.12 million troy ounces.
Investment demand via capital markets is equally robust. Global gold ETF holdings climbed to 98.33 million troy ounces by December 12, marking the highest level since October 23. Since the start of the year, inflows equate to 482 tonnes, an increase of 18.69 percent, with roughly 25 tonnes added in just the past two weeks.
Traders are now focused on imminent U.S. economic releases. Combined labor market reports for October and November are due today, with forecasts anticipating the unemployment rate to rise from 4.4 to 4.5 percent. Thursday’s U.S. inflation figures for November will be critical for shaping expectations of future Fed policy and, by extension, gold’s path.
Geopolitical developments show tentative signs of easing, with Ukrainian and U.S. negotiators reportedly agreeing on roughly 90 percent of topics after talks in Berlin, though territorial disputes with Russia remain unresolved. Any substantive progress could modestly reduce gold’s traditional safe-haven demand.
Conversely, disappointing economic data from China is dampening risk appetite. Figures released on December 16 broadly missed expectations:
This combination of a prolonged property slump, weaker consumption, and slightly subdued factory output is reinforcing demand for perceived safe assets like gold.
From a chart analysis standpoint, gold is testing resistance near its record high. Yesterday’s peak of $4,334.30 established a new 52-week high, placing the all-time high of $4,381.58 from October within striking distance. The RSI reading of 57.7 does not indicate overbought conditions, leaving room for further upward movement.
Significant support levels are identified at:
* $4,245
* $4,230
* $4,183
On the upside, relevant resistance levels are:
* $4,354
* $4,382 (the all-time high)
* $4,500 as the next psychological barrier
A sustained decline below $4,300 could trigger short-term selling pressure and initiate a broader consolidation phase. The short-term hourly chart also suggests a potential double-top pattern forming around $4,350—a formation that often precedes a pause or correction unless a clear breakout occurs.
Gold currently benefits from a rare alignment of bullish drivers: falling U.S. rates, a weaker dollar, strong institutional buying, and economic and geopolitical uncertainty. As long as these factors persist and the Fed maintains its accommodative stance, the environment for the precious metal remains constructive. In the immediate term, this week’s U.S. employment and inflation data will dictate whether gold swiftly sets a fresh record or enters a broader phase of sideways consolidation.
A striking divergence is unfolding in the XRP market. While the digital asset’s price has broken below key technical levels, shedding approximately 9% over the past week, its newly launched exchange-traded funds (ETFs) are experiencing unprecedented demand. This contrast raises a critical question: why is institutional capital flowing in as the spot price declines?
External factors are contributing significantly to the current sell-off. Economists widely anticipate a 25-basis-point interest rate hike from the Bank of Japan on Friday, December 19th. Concurrently, yields on 10-year Japanese Government Bonds are approaching the 18-year high seen the prior week, signaling a potential unwinding of yen carry trades. XRP has historically demonstrated an inverse correlation to these yields.
Further pressure stems from regulatory delays in the United States. The anticipated markup of the comprehensive crypto market structure legislation, expected this week, has now been postponed to early 2026. This represents a setback for an industry seeking regulatory clarity. XRP has shown sensitivity to such developments before, notably rallying nearly 15% on July 17th following the bill’s passage in the House of Representatives.
During the latest trading session, XRP fell from just under $2.00 to a daily low near $1.87. This move constituted a decisive break below the $1.93 support zone, which had held for weeks. Trading volume spiked to 246% above the 24-hour average, suggesting broad participation from larger market players.
Technical indicators paint a uniformly bearish picture. The asset is now trading below both its 50-day and 200-day moving averages. The next significant support levels are found at $1.82 (the low from November 21) and $1.75. The former support at $1.93 has now flipped into a resistance level.
In stark opposition to the weak price action, the four spot XRP ETFs have achieved a remarkable milestone. According to data from SoSoValue, these funds have attracted net inflows for 30 consecutive trading days since their launch on November 13, surpassing $1 billion in cumulative assets without a single day of outflows. This performance stands in sharp contrast to Bitcoin ETFs, which saw outflows of $3.4 billion, and Ethereum ETFs, with outflows of $1.3 billion, over the same period.
The distribution of inflows among the funds is as follows:
* Canary Capital XRP ETF: $376.5 million
* Grayscale XRP ETF: $219.8 million
* Bitwise XRP ETF: $212.6 million
* Franklin Templeton XRP ETF: $193 million
Notably, the XRP ETF suite reached the $1 billion threshold faster than Ethereum ETFs, which required 96 trading days to achieve the same—and without products from heavyweight issuers like BlackRock or Fidelity.
Parallel to the price decline, Ripple Labs continues to expand its operational infrastructure. On December 12th, the company received preliminary approval from the U.S. Office of the Comptroller of the Currency (OCC) for the Ripple National Trust Bank in New York. This entity is slated to manage, among other things, the reserves for the RLUSD stablecoin.
RLUSD, launched in December 2024, has already grown to a market capitalization of $1.3 billion. Ripple plans to expand its presence onto Ethereum Layer-2 networks in 2026. In a further development for institutional access, the CME Group has announced the upcoming launch of XRP futures contracts.
Recent liquidity analysis indicates that most sell-side liquidity zones below the current price have been cleared. Simultaneously, funding rates across major exchanges have turned negative, a classic sign of elevated short positioning. Historically, such one-sided market conditions increase the probability of a technical counter-move or short squeeze.
A sustained break below $1.82 would confirm the bearish structure. However, a reclaim of the $1.93 level on declining volume could signal waning selling pressure. The coming days are likely to provide clearer direction, particularly following the Bank of Japan’s interest rate decision on December 19th.
Cardano Tests Critical Support Amid Broad Crypto Market Weakness
The cryptocurrency sector faces renewed selling pressure this week, with Cardano’s ADA token among the hardest hit. Trading near a pivotal level of $0.37, its lowest point in a year, ADA has declined approximately 12% over the past seven days. This downturn unfolds against a backdrop of macroeconomic headwinds, even as on-chain activity within the Cardano ecosystem shows surprising signs of vigor.
Ecosystem Activity Contrasts Price Action
Despite the bearish price trend, a significant development occurred within the Cardano network. The launch of the privacy-focused Midnight Protocol (NIGHT) facilitated the movement of more than 85 million ADA across decentralized exchanges in the last week. This suggests that while speculative traders may be exiting, participants within the ecosystem are actively utilizing the network for new applications.
Project founder Charles Hoskinson reiterated the platform’s core philosophy this Tuesday, emphasizing a deliberate focus on decentralization and scientific rigor over pure transaction speed. The approach, which relies on formal verification and the Ouroboros proof-of-stake protocol, is designed to ensure long-term reliability and attract institutional partners.
Macroeconomic Forces Weigh on Sentiment
The current challenges for Cardano extend beyond its own ecosystem. The wider digital asset market is contending with a trio of macroeconomic pressures. First, speculation that the Bank of Japan may raise its policy rate from 0.50% to 0.75% on December 20th is already pulling capital away from risk-sensitive assets. Second, warnings from major financial institutions about a potential “AI bubble” in the technology sector are prompting more defensive portfolio positioning. Finally, ongoing uncertainty regarding the future direction of U.S. Federal Reserve policy continues to dampen investor mood.
This environment has pushed the Crypto Fear & Greed Index to a reading of 16, indicating “Extreme Fear.” Major cryptocurrencies reflect this: Bitcoin tested support near $85,000, while Ethereum fell below the $3,000 threshold. Cardano currently trades around $0.38, with a total market capitalization of approximately $14.4 billion.
Derivatives Data Points to Pessimism
The outlook among professional traders appears decidedly negative. Open interest for ADA futures contracts has dropped 11% to $713.5 million in a short period. Notably, over 55% of all open positions are now short bets, signaling a strong consensus that further price depreciation is likely.
Technical Picture Hinges on Key Level
From a chart analysis perspective, Cardano is navigating a critical technical zone. The 50-day moving average, situated near $0.48, now acts as a primary resistance level. The immediate focus for analysts is the $0.37 support. A sustained break below this anchor point could trigger additional losses.
However, some market observers note the potential formation of an inverse head-and-shoulders pattern on the daily chart. This technical setup could gain validity and point to a trend reversal if ADA manages to reclaim and hold above the $0.45 mark.
In the near term, macroeconomic data releases and the impending Bank of Japan decision are expected to be the primary drivers of market direction. For Cardano, the $0.37 level remains the crucial benchmark for its short-term trajectory.