- On-chain data shows ETH’s NVT ratio at 1,041, indicating network overvaluation relative to on-chain transaction activity current levels.
- MVRV long-short differential remains negative for four months, meaning long-term ETH holders incur unrealized losses than short-term participants.
Ethereum’s share of total crypto market capitalization has climbed steadily from January through May 2025, even as its price charts show fresh weakness. ETH peaked near $3,700 in January before reversing trend. After an attempted breakout above $2,800 a month ago, the token pulled back and now trades below $2,200, risking a fall under $2,000.
Data from CryptoQuant shows that Ethereum’s trading volume held roughly between 300 trillion and 490 trillion units throughout 2024 and early 2025. In contrast, altcoin volume plunged from a November 2024 high of 1.5672 quadrillion to just 387.47 trillion by May. As investors drained liquidity from smaller tokens, Ether attracted relative capital, lifting its dominance without boosting its absolute price level.
Moreover, CoinGlass’s Altcoin Season Index fell from 88 in December 2024 to 12 in June 2025. Therefore, the broader altcoin market has softened, redirecting market share to Ethereum. This shift underscores a retreat from riskier assets into a token that still commands high liquidity and network trust.
On-chain indicators raise caution. Santiment reports that Ethereum’s NVT ratio has climbed to 1,041, implying network valuation now outstrips on-chain activity. Historically, such gaps precede price pullbacks. In addition, the MVRV long-short difference remains negative for four months, showing that long-term holders sit underwater more than recent buyers.
Consequently, Ethereum may need to retrace to match real demand levels. A drop below $2,000 would align price with usage metrics, while a sustained hold could pave the way for speculators to push toward $2,500. Ultimately, the token’s rising market share reflects competitor weakness rather than Ether’s own strength.
Ethereum (ETH) is trading around $2,175–$2,200, continuing a multi-week correction that has erased much of the gains from earlier this year. ETH has declined by over 13% in the past 7 days, and nearly -18% over the past month, following its rejection from the key resistance zone between $2,700 and $2,800.
Despite this short-term bearish structure, Ethereum remains the second-largest crypto asset by market cap, currently hovering near $265 billion, and retains dominant market infrastructure in DeFi, NFTs, and real-world asset tokenization.
From a technical standpoint, Ethereum has lost critical moving averages, including the 50-day and 200-day trend lines. Daily RSI is hovering just below 40, suggesting weak momentum but not yet an oversold condition.
The next major support lies at $2,100, with stronger institutional demand historically found between $1,950 and $2,000. A sustained move below $2,000 could trigger additional downside toward $1,850, while a recovery above $2,350 would be required to invalidate the bearish trend and re-establish bullish momentum.
From the institutional perspective, the market is anticipating a possible U.S. Ethereum spot ETF approval, which analysts from VanEck and Franklin Templeton expect could arrive by late 2025. Such approval would likely bring billions in new flows into ETH, mirroring what happened with Bitcoin ETFs earlier this year.
Simultaneously, Ethereum continues to anchor multiple RWA tokenization pilots by major financial institutions including HSBC, Euroclear, and Citi, using ETH as the settlement layer for tokenized bonds and yield-bearing assets.
