ETH (Ethereum) decreased by 7.34% in the past 24 hours

Gate News Bot Message, February 02, According to CoinMarketCap data, at the time of press, ETH (Ethereum) is trading at $2259.28, down 7.34% in the past 24 hours, with a high of $3040.72 and a low of $2224.12. The 24-hour trading volume reached $41.021 billion. The current market capitalization is approximately $272.681 billion, a decrease of $21.59 million from yesterday.

Ethereum is an open-source, decentralized blockchain network and software development platform driven by the cryptocurrency Ether (ETH). As a secure, global foundation for the next generation of unstoppable applications, the Ethereum network is open to everyone, permissionless, and built and maintained by thousands of individuals, organizations, and users worldwide.

Ether (ETH) is the native cryptocurrency that powers the Ethereum network, used to pay transaction fees and secure the blockchain through staking. As an open, programmable digital currency, ETH is used for global payments, as collateral for loans, and as a store of value independent of any central entity. The Ethereum ecosystem supports diverse application scenarios, including digital cash, decentralized finance (DeFi), non-fungible tokens (NFTs), asset tokenization, and privacy-preserving applications.

Recent Important News on ETH:

1️⃣ Institutional Large-Scale Staking Demonstrates Long-Term Value Recognition, but Liquidity Release Adds Pressure Bitmine’s total staked ETH has recently surpassed 2.51 million ETH, worth approximately $7.45 billion. The institution continues to increase staking rather than reduce it, reflecting strong confidence in Ethereum’s long-term network security and economic model. At current prices, the daily staking rewards exceed $1 million, further enhancing Ethereum’s appeal as “productive capital” for institutions. However, large-scale staking also means more ETH is locked in staking systems, reducing circulating supply in the market. Under current price pressures, this structural tension may delay a rebound.

2️⃣ Long Positions Liquidation in Derivatives Market Intensifies, Liquidity Buildup Creates Dual Risks In the past 24 hours, the entire network experienced liquidations totaling $346 million, including $34.75 million from long ETH positions and $17.40 million from short positions. According to liquidation data, if ETH falls below $2830, the main centralized exchanges (CEXs) could see total long liquidation strength reach $461 million, indicating a clear liquidity trap below. The strong support around $2800 has been broken, and the $2250 level has become a key technical focus. Large whales have established short positions at high levels (e.g., a whale shorted 2200 ETH at an average price of $2950.69), creating short-term profit-taking momentum during rapid price declines.

3️⃣ Infrastructure and Application Layer Development Continues, Censorship Resistance Upgrades Enhance Long-Term Value Sony Innovation Fund has invested an additional $13 million in Startale Group to advance on-chain infrastructure based on the Soneium ecosystem, including stablecoin USDSC and integrated wallet products. Fidelity will launch a compliant stablecoin FIDD on Ethereum, accelerating enterprise-level application expansion. Ethereum researchers propose incorporating FOCIL censorship resistance features into the Hegota upgrade, using protocol-level innovations to enforce transaction inclusion and reduce reliance on centralized validators. These measures strengthen Ethereum’s long-term positioning as a censorship-resistant, neutral blockchain, though their short-term impact on price is limited.

4️⃣ Spot ETF Institutional Fund Flows Diverge, Reflecting Mixed Market Participant Attitudes The US spot Ethereum ETF recorded approximately $117 million in net inflows on January 28, with Fidelity adding about $137 million, while BlackRock experienced slight net outflows. This divergence in institutional fund flows indicates differing attitudes among market participants, viewed more as phase adjustments rather than a sign of a large-scale risk appetite revival. Historical experience suggests that ETF inflows do not necessarily lead to rapid short-term price increases; current market recovery requires synchronized improvement in fundamentals.

This message is not investment advice. Please be aware of market volatility risks.