The price of Ether (ETH) traded at $3,077, up 17% from the local low of $2,620 reached on November 21. However, reduced Treasury purchases and overhead resistance delayed the sustained recovery towards $4,000.
Key Takeaways:
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Demand for Ether treasuries has plunged by 80%, raising concerns about their sustainability.
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Breaking the resistance at $3,200 is crucial to verify the recovery.
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Ether's falling wedge breakout targets 4,150 ETH if key support levels hold.
Ethereum Treasuries have plunged 80%
Ether saw a pointy decline in demand from corporate treasury units that had previously gathered ETH as a part of the “DAT” trend.
Data from Bitwise shows that digital asset treasury (DAT) firms purchased just 370,000 ETH in November, down 81% from the height of 1.97 million ETH in August.
Max Shannon, senior research associate at Bitwise, warns that structural supply for Ether will disappear if government bond purchases proceed to say no while supply stays the identical.
“As more alternatives emerge, the identical pool of capital cannot sustain demand.”
The ETH-DAT bearish trend continues. pic.twitter.com/5YhOwqTICd
— Max Shannon (@cornMaxy) December 2, 2025
This decline will not be simply a slowdown, but reveals a structural decline brought on by shrinking mNAV values and dwindling purchasing power of smaller corporations.
Additional data from Capriole Investments shows that each day institutional purchases, including DATs and ETFs, have declined from a high of 121,827 ETH on August 15. In fact, they at the moment are selling at a rate of 5,520 ETH per day.
Ethereum: Daily rate of institutional purchases. Source: Capriole Investments
Raising capital is becoming an issue, so only a handful of huge players are still lively. One of those is Bitmine, led by Wall Street strategist Tom Lee, which continues so as to add ETH; However, based on CryptoQuant analyst Maartunn, monthly and weekly volumes have declined.
Yes, Bitmine continues so as to add recent Ethereum to its hoard, but monthly USD values have fallen:
July 2025: $2.6 billion
August 2025: $4.3 billion
September 2025: $3.4 billion
October 2025: $2.3 billion
November 2025: $892 million pic.twitter.com/w1k3FdXIXy
— Maartunn (@JA_Maartun) December 3, 2025
While Treasury purchases still exceed Ethereum's monthly supply of about 80,000 ETH, the ever-shrinking pool of lively buyers suggests that the DAT model is collapsing.
As Cointelegraph reported, Ether treasury corporations are sitting on tens of millions of dollars in unrealized losses, raising concerns about their sustainability.
Ether is facing resistance above $3,200
According to data from Cointelegraph Markets Pro and TradingView, ETH price's recent rally has seen it reclaim a key support area around $3,080, where the 50-week and 100-week SMAs look like converging.
A each day candle close above this level could be a bullish sign that buyers are back on top of things.
If this level holds, “then we’re excited for an uptrend,” Michael van de Poppe, founding father of MN Capital, said in a recent X post, adding:
“On the upside, the $3,000-3,100 level stays a vital resistance zone to interrupt.”
Note that this resistance area coincides with the 200-period SMA, which has been depressing the value since October twenty eighth.
According to Glassnode's cost base distribution heatmap, investors here acquired about 5.1 million ETH.
As Cointelegraph reported, a detailed above the 20-day EMA at $3,100 would suggest that selling pressure is easing, opening the way in which for an increase towards the 50-day SMA around $3,500.
Ether’s falling wedge breakout targets $4,150
The each day chart shows the ETH/USD pair breaking the upper trendline of a falling wedge pattern at $3,000.
A each day close above this level would confirm the breakout and pave the way in which for Ether to rise towards the wedge goal at $4,150, a 36% increase from current price.
This upside goal is in keeping with several analysts’ ETH price predictions, as valuation models suggest the altcoin is significantly “undervalued.”
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