Ethereum is going through a period of scarcity. After a plunge of more than 31% in one month, the world's second largest crypto seems doomed to stall. And according to a leading analyst, this lull could well last.
In brief
- According to Pav Hundal, analyst at Swyftx, ETH is expected to remain stable in the coming weeks, due to a lack of new catalysts.
- The massive $19 billion liquidation in October seriously dented investor confidence.
- The ETH/BTC ratio increased by 3.58% over seven days, a signal to watch closely.
An Ether under pressure, but the risks already absorbed
Pav Hundal, principal analyst at Swyftx, was the first to make the diagnosis last Thursday in a statement to Cointelegraph. According to him, Ether has already integrated most of the short-term macroeconomic and sectoral uncertainties.
“ It wouldn't surprise me at all if ETH remains fairly calm over the next few weeks “, he states bluntly.
Geopolitical tensions around Iran, as well as legislative progress linked to the American CLARITY law, are now reflected in the price. In other words, the market has already digested this news. Without an unprecedented catalyst, it is difficult to imagine a significant upward impulse.
What weighs more is the trauma left by the wave of liquidations in October. In the space of a few weeks, $19 billion left the market. A brutal shock which caused investor confidence to fall to levels comparable to those of the 2022 crisis.
ETH is now down 56.8% from its October high of around $4,687.
Consumer morale, the real forgotten subject
Pav Hundal points out a blind spot often ignored in market analyses: consumer morale. “ For me, this is the major topic that no one really talks about “, he insists.
Too many investors are wondering about the next source of liquidity, without paying attention to the psychological state of the retail market.
The Crypto Fear & Greed Index confirms this unease. It showed a score of 13 on Friday, a level of “extreme fear”, a sign that small carriers remain in shelters.
However, institutional investors do not share this reluctance. BitMine Immersion Technologies, the largest ETH treasury company, recently acquired an additional 45,759 ETH, bringing its total balance to 4.37 million ETH, or approximately 3.62% of the circulating supply. A strong signal of strategic accumulation, going against the prevailing sentiment.
In the medium term, Hundal anticipates a scenario that will “test even investors the most experienced. However, he is closely monitoring the ETH/BTC ratio, up 3.58% over seven days: if ETH starts to outperform bitcoin, “things can get potentially explosive,” he warns.
In the background, Ethereum is silently preparing the Glamsterdam update for the first half of 2026, which promises significant improvements in terms of scalability and user experience, a potential catalyst to watch in the medium term.
Ether is playing for time. Technical fundamentals are improving, institutional assets are accumulating, and immediate risks seem to be absorbed. However, without a clear trigger, the consolidation is likely to drag on. Patience and vigilance remain the key words.
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