Earlier today, Ethereum (ETH) slid below the psychologically important $4,000 level for the first time since August 8. The fall in ETH’s price can be attributed to a mix of macroeconomic, structural, and crypto-specific factors.
Ethereum Dips Below $4,000, Analyst Explains Why
According to a CryptoQuant Quicktake post by contributor Arab Chain, ETH’s latest descent below $4,000 can be blamed on a complex mix of factors. First, a strong US dollar, coupled with the Federal Reserve’s (Fed) cautious stance following its September rate cut, dampened risk appetite.
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Furthermore, rising bond yields and the increasing risk of a US government shutdown have spooked investors, discouraging them from investing in risk-on assets, including cryptocurrencies like ETH.
Second, the analyst points to the role of leverage in ETH’s latest dip. On September 22, more than $500 million in ETH longs were wiped out within 24 hours, resulting in the unwinding of high leverage that was building up in Q2 2025. During the sell-off, ETH whales faced close to $45 million in forced sales.
In addition, low weekend trading volume and shallow order books enhanced ETH’s price swings. Notably, institutional investors turned to OTC redemptions, following the Fed meeting to reduce their exposure to ETH.
From a technical perspective, ETH failed to decisively break through the stiff resistance near $4,500 – $4,600. Failure to defend the $4,200 support worsened things for ETH, turning the momentum sharply bearish.
The fifth reason was regulatory headwinds surrounding digital assets, especially the uncertainty around MiCA in the EU and US crypto legislation. ETH exchange-traded fund (ETF) outflows worth $76 million weighed on investor sentiment.
Finally, a surge in validator exit queues and reduced staking inflows weakened natural buy-side support. Other factors, such as seasonal weakness and Bitcoin’s (BTC) rising dominance in the market, contributed to ETH’s sell-off. Arab Chain concluded:
While this correction reflects structural positioning and macro forces rather than a broken thesis, volatility may persist until liquidity returns and regulatory clarity improves.
Will ETH Stage A Recovery?
While the momentum is against ETH currently, some analysts are optimistic about a turnaround in ETH’s fortunes in the coming months. For instance, ETH’s CME futures open interest is inching closer to new highs, setting a new potential target for ETH of $6,800 by the end of 2025.
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Similarly, the surge in ETH contracts throughout the year has some analysts convinced that the digital asset may soon embark on a rally to $5,000. ETH’s illiquid supply could further propel it to new highs.
In his latest analysis, crypto commentator Ted Pillows predicted that the increase in global M2 money supply could pave the way for $20,000 ETH. At press time, ETH trades at $3,959, down 3.6% in the past 24 hours.
Ether prices fell to $3,994 during Thursday morning trading in Asia, its lowest level since early August.
The asset was trading marginally above $4,000 at the time of writing, after shedding another 3.3% on the day. ETH is currently down 19% from its all-time high, and most of those losses have come over the past week.
The sharp decline comes amid a general crypto market pullback that has seen total market capitalization shrink below $4 trillion. However, Ether is getting hit much harder following its epic 225% surge from April to August.
Correction to $3,500 Possible
Analyst ‘Sykodelic’ predicted a $3,900 bottom over the next few days as oversold signals grow stronger.
The bottom is in for Bitcoin.
And it’s almost in for $ETH.$ETH is approaching a very similar setup from back June this year with lower low into supply, joined with the RSI getting close to oversold.
$3,900+ will be the bottom imo and it will be in the next day or so.
Macro trader and investor Jason Pizzino said Ether’s abnormal moves “always lead to corrections of at least 20%, generally more like 30%-40%,”
“It seems like Ethereum wants to go lower,” said analyst Ted Pillows, who added that the “next support level is around the $3,800 level, which is a good zone to accumulate.”
A number of analysts have predicted that ETH would pull back to the $3,500 level, which will take it down around 30% from its peak, which is not unusual for a major correction.
The price slump comes amid aggressive accumulation by digital asset treasuries and whale entities, suggesting that weak retail hands are panicking.
Ten whales have bought more than 210,000 ETH worth $86s million over-the-counter, said ‘Ash Crypto’ on Thursday, before adding:
“While you are panic selling, whales are buying your cheap Ethereum.”
Meanwhile, the balance of Ethereum on centralized exchanges has fallen to its lowest levels since 2016, according to data from Glassnode and CryptoQuant.
“Although this seems contradictory, as low exchange balances reflect decreased short-term selling, this divergence hints at a contrarian accumulation signal while macro headwinds could soon ease into a rebound for Ethereum,” said Nick Ruck, director at LVRG Research.
Altcoins in Pain
While Ethereum is leading the altcoin bloodbath, several other assets are seeing similar or worse losses today.
Avalanche (AVAX) has dumped 7.7% on the day in a fall to $31.38 following its stellar doubling in price in less than three months.
Pump.fun (PUMP), Mantle (MNT), Cronos (CRO), and Sky (SKY) have lost a similar amount over the past 24 hours.
Meanwhile, Flare (FLR) and Immutable (IMX) are the only top one hundred altcoins in the green at the moment.
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Crypto markets have recently faced renewed challenges, despite a brief resurgence following the US Federal Reserve’s (Fed) rate cut that initially propelled Bitcoin (BTC) back toward the $120,000 mark.
This week, however, Bitcoin has dropped to the lower end of its established consolidation range, fluctuating between $110,000 and $115,000. Analysts from The Bull Theory have pinpointed several factors contributing to this downturn.
How Fed Policies And QT Are Impacting Crypto
One of the primary reasons for the current situation is the ongoing capital flow favoring traditional assets. In the wake of rate cuts, institutional investors tend to channel their funds into stocks and gold first, as these are considered high-liquidity assets with a proven track record.
In contrast, cryptocurrencies, particularly altcoins, often find themselves at the end of the liquidity pipeline. They typically see price increases only when risk appetite broadens significantly among investors.
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Additionally, liquidity remains tight in the crypto space, despite the Fed’s recent actions. While the central bank cut rates in September, other variables are restricting the flow of capital into cryptocurrencies.
Quantitative tightening (QT) is still being implemented, with the Fed actively reducing its balance sheet. Moreover, the US Treasury is absorbing liquidity through the replenishment of the Treasury General Account (TGA), and money market funds are currently holding over $7.7 trillion in cash that remains largely idle.
This lack of liquidity means that any spillover effect into the crypto market will be limited, resulting in a slower rotation of capital into digital assets.
Cyclical Trends Suggest Potential Rebound
The macroeconomic patterns observed in September 2024 are also reemerging. Last year, following a rate cut, Bitcoin surged past $60,000, while Ethereum (ETH) and other altcoins enjoyed significant gains. However, this was followed by a sharp decline, with Bitcoin dropping 11% and Ethereum experiencing an even steeper fall.
In a similar vein, this September has seen Bitcoin hover around $112,000 after briefly touching $118,000, while Ethereum has slipped from $4,600 to approximately $4.1,00.
This cyclical pattern suggests that crypto may be primed for a rebound, but only after a period of consolidation and confirmation. Moreover, the impending expiry of options contracts for Bitcoin and Ethereum is adding another layer of volatility to the market.
Stablecoin Movement And Institutional Inflows
Another factor impacting the market is the supply and velocity of stablecoins. While the total supply of stablecoins has surged from $204 billion in January to $308 billion in September—an all-time high—the velocity of these assets is not keeping pace.
The analysts have identified that much of this capital remains inactive, either sitting idle, bridged, or utilized off-exchange. Until stablecoin velocity increases, the price impact on cryptocurrencies is likely to remain subdued.
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Looking ahead, historical trends suggest that although crypto may be lagging in the short term, they often follow traditional assets with significant gains once the market stabilizes.
In the aftermath of all-time highs in equity markets, Bitcoin has previously averaged a 12% increase within 30 days and a remarkable 35% over 90 days. Notably, following the Nasdaq’s all-time highs, Bitcoin surged by an impressive 46% in the same 90-day timeframe.
For crypto markets to regain their momentum, active movement of stablecoins is essential, along with a cooling off of derivatives trading and substantial purchases from institutional investors and exchange-traded funds (ETFs).
The daily chart shows the total crypto market cap valuation at $3.8 trillion. Source: TOTAL on TradingView.com
Featured image from DALL-E, chart from TradingView.com
Ethereum price started a fresh decline below $4,220. ETH is now consolidating and might decline further if it breaks the $4,125 support zone.
Ethereum failed to extend gains and declined below the $4,200 zone.
The price is trading below $4,220 and the 100-hourly Simple Moving Average.
There is a key bearish trend line forming with resistance at $4,370 on the hourly chart of ETH/USD (data feed via Kraken).
The pair could start a fresh increase if it settles above $4,280 and $4,320.
Ethereum Price Is Now At Risk
Ethereum price failed to continue higher above the $4,500 zone and started a fresh decline, like Bitcoin. ETH price declined below the $4,420 and $4,350 support levels.
The bears even pushed the price below $4,200. A low was formed at $4,000 and the price recently started a minor recovery wave. There was a move above the 23.6% Fib retracement level of the downward wave from the $4,636 swing high to the $4,000 low.
Ethereum price is now trading below $4,220 and the 100-hourly Simple Moving Average. On the upside, the price could face resistance near the $4,220 level. The next key resistance is near the $4,280 level.
The first major resistance is near the $4,315 level and the 50% Fib retracement level of the downward wave from the $4,636 swing high to the $4,000 low. A clear move above the $4,315 resistance might send the price toward the $4,370 resistance. There is also a key bearish trend line forming with resistance at $4,370 on the hourly chart of ETH/USD.
An upside break above the $4,370 region might call for more gains in the coming sessions. In the stated case, Ether could rise toward the $4,450 resistance zone or even $4,550 in the near term.
Another Decline In ETH?
If Ethereum fails to clear the $4,215 resistance, it could start a fresh decline. Initial support on the downside is near the $4,125 level. The first major support sits near the $4,050 zone.
A clear move below the $4,050 support might push the price toward the $4,000 support. Any more losses might send the price toward the $3,880 region in the near term. The next key support sits at $3,750.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is gaining momentum in the bearish zone.
Hourly RSI – The RSI for ETH/USD is now below the 50 zone.
After losing the $4,450-$4,500 area during the recent market downturn, Ethereum (ETH) is attempting to hold a crucial level as support. Some analysts suggest that the leading altcoin is poised to bounce soon as crypto treasury companies continue to bet on the cryptocurrency.
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Ethereum Eyes Rebound Amid $4,100 Retest
On Monday, Ethereum’s price dropped around 7% during the largest liquidation event of the year so far. Notably, the crypto market saw more than $1.7 billion in leveraged positions liquidated over the past 24 hours, according to CoinGlass data.
ETH led the losses with nearly $500 million in liquidations, followed by Bitcoin’s $284 million. This dragged the King of Altcoin’s price to the crucial $4,100 support for the first time since August, hitting a one-month low of $4,077.
Daan Crypto Trades highlighted that today’s event was the largest nominal Ethereum liquidation since 2021, when the cryptocurrency’s price dropped around 45% in a single day. However, various market watchers noted that the price decline was relatively tame compared to previous liquidations of this scale.
As the second-largest cryptocurrency dropped to the $4,100 support, some analysts suggested that Ethereum is gearing up for a rebound. Merlijn The Trader affirmed that ETH is “following the blueprint” to a five-digit target.
Per the trader, the cryptocurrency rallied to its previous all-time high (ATH) of $4,800 after breaking out of a multi-year bullish pattern. Following its breakout from an Adam and Eve formation in 2021, the leading altcoin retested the level as support and consolidated around this area for three months before the next leg up.
This time, Ethereum displays a new textbook setup with a multi-year descending triangle formation, which was broken out of last month and is currently being retested as support. According to the market watcher, ETH could see a 2021-like breakout toward the $10,000 barrier.
Nonetheless, Ted Pillows asserted that the altcoin must hold the $4,100 area as support for a short-term bounce. “If this level is lost, Ethereum will drop towards the $3,700-$3,800 level,” the analyst warned.
BitMine Holds 2% Of ETH Supply
Despite the market downturn, corporations continue to bet on the second-largest cryptocurrency for their Digital Asset Treasury (DAT) strategies. BitMine, the second-largest crypto treasury, revealed that it has increased its ETH holdings to nearly 2.5 million tokens over the past week, as part of its goal to hold 5% of Ethereum’s total supply.
BitMine now owns over 2% of the supply with 2,416,054 ETH, solidifying its position as the largest ETH Treasury in the world. According to the Monday announcement, the company now holds $11.4 billion in assets, including the 2.4 million ETH tokens, 192 Bitcoin (BTC), $175 million stake in Eightco Holdings for its “Moonshot” initiative, and unencumbered cash of $345 million.
Additionally, the company is the 24th most traded stock in the US, with an average daily volume of $3.5 billion, according to 5-day average data from Fundstrat.
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BitMine’s chairman, Thomas “Tom” Lee, stated that the company continues “to believe Ethereum is one of the biggest macro trades over the next 10-15 years,” adding that “Wall Street and AI moving onto the blockchain should lead to a greater transformation of today’s financial system. And the majority of this is taking place on Ethereum.”
As of this writing, ETH is trading at $4,145, an 8% decline in the weekly timeframe.
Ethereum’s performance in the one-week chart. Source: ETHUSDT on TradingView
Featured Image from Unsplash.com, Chart from TradingView.com
Ethereum (ETH) has slipped 6.1% in the past 24 hours, falling below $4,300 after bulls failed to defend the crucial $4,500 resistance zone. The decline comes despite fresh institutional buying, with Tom Lee–led BitMine purchasing approximately $84 million worth of ETH in just 24 hours, lifting its holdings to over 2.15 million coins.
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BitMine’s aggressive accumulation, executed in five separate tranches, proves the growing institutional adoption. However, the market remains in “fade-the-rally” mode, as short-term traders continue to sell into strength.
Fed Rate Cut Bounce Fizzles
Ethereum (ETH) initially spiked above $4,600 after the U.S. Federal Reserve announced a 25 basis-point rate cut and hinted at a softer policy path for 2025. But the rally quickly lost momentum, with selling pressure intensifying as unrealized profits among large holders reached levels last seen in 2021.
On-chain flows indicate that more ETH is moving from staking contracts to centralized exchanges, signaling caution among whales. Likewise, low network fees show subdued on-chain demand, reinforcing bearish short-term sentiment.
Technical Outlook: $4,000 Ethereum (ETH) Test in Play
From a technical perspective, Ethereum’s price action has turned negative after breaking below its 50-SMA ($4,502) and 200-SMA ($4,396) on the two-hour chart. Analysts note that the breakdown candle resembled a Marubozu pattern, a strong bearish signal that often precedes further downside.
The Relative Strength Index (RSI) has plunged to oversold levels near 18, suggesting conditions are stretched but not yet bullish. Immediate downside targets lie at $4,242, $4,159, and potentially $4,065 if selling pressure persists.
A routine retest of the $4,395–$4,502 band is expected; failure to reclaim this level could pave the way for a drop toward $4,000 support.
For bulls, only a decisive reclaim above $4,502 would shift momentum back toward $4,588 and $4,699. Until then, traders are advised to treat rallies as shorting opportunities rather than signs of recovery.
Short-Term Pain, Long-Term Conviction
Despite short-term weakness, institutional accumulation still supports Ethereum’s long-term growth. BitMine’s latest acquisition shows that deep-pocketed investors continue to bet on ETH’s rise, even as short-term volatility unsettles retail traders.
The wider market remains delicate, with Bitcoin hovering around $114,000 and major altcoins like XRP, Solana, and Dogecoin also declining. Analysts believe that the upcoming week, marked by Fed Chair Powell’s speech and key U.S. economic reports, could influence Ethereum’s next significant move.
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For now, ETH bulls face a tough challenge: unless $4,500 is regained decisively, the most likely direction remains toward $4,000.
Cover image from ChatGPT, ETHUSD chart from Tradingview
The price of Ethereum had quite a rough performance over the past week, falling from its usual range above the $4,600 level to below $4,500. Despite the injection of bullish momentum into the market by the US Federal Reserve’s interest rate cut, the “king of altcoins” failed to sustain its rally back to the $4,600 region.
According to the latest on-chain data, the Ethereum price could be gearing up for an even longer time in the cold, as investors seem to be turning away from the second-largest cryptocurrency by market cap. The question, though, is how deep the price of ETH will fall in the coming weeks?
ETH Price At Risk Of Return To $1,500?
In a recent post on the social media platform X, pseudonymous crypto analyst Darkfost revealed that the Ethereum investors might be flooding out of the market at the moment. This observation is based on the recent downturn in the ETH Taker Buy-Sell Ratio on the world’s largest crypto exchange by trading volume.
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The Taker Buy-Sell Ratio is an on-chain indicator that compares the proportion of the taker buy volumes to the taker sell volumes on crypto exchanges. When the value of this metric is greater than one, it signals that the taker buy volume is higher than the taker sell volume on a crypto exchange. This trend typically points to the willingness of more traders to purchase coins at a higher value on the trading platform.
Meanwhile, a less-than-one value for the Taker Buy-Sell Ratio typically means that the taker sell volume is higher than the taker buy volume on the exchange. Ultimately, this low value indicates that more sellers are offloading their assets at a lower price, precipitating bearish pressure in the market.
According to data from CryptoQuant, the Ethereum Taker Buy-Sell Ratio fell below the 1 threshold to around 0.87 on Friday, September 19. This latest decline marked the third time this metric has fallen this low so far in 2025.
Source: @Darkfost_Coc
As observed in the above chart, Darkfost noted that the indicator fell as low as 0.85 in January and February 2025. This ratio decline coincided with the bearish trend, during which the price of Ethereum fell to around the $1,500 region.
As of the time of publishing their post on X, Darkfost revealed that the 7-day average of the Taker Buy-Sell Ratio stood at 0.93, which is still short of the 1 threshold. The on-chain analyst concluded that while the Ethereum price is looking to break above the $5,000 milestone, more investors seem to be increasingly betting against the altcoin’s rally.
Although it is highly unlikely to see a downturn similar to the one in 2025’s first quarter, the latest on-chain events suggest that the price of ETH could still face some bearish pressure in the coming weeks.
Ethereum Price At A Glance
As of this writing, the price of ETH stands at around $4,475, reflecting a mere 0.4% leap in the past 24 hours.
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The price of ETH on the daily timeframe | Source: ETHUSDT chart on TradingView
Featured image from iStock, chart from TradingView
The Ethereum price has spent the past weeks stuck in a wide consolidation zone, testing bullish momentum as analysts anticipate its next big breakout. One market expert has highlighted a critical level for ETH, suggesting that as long as the second-largest cryptocurrency can hold above this level, its path to surpassing the $5,000 milestone remains intact.
Ethereum Price Faces Critical Level At $4,400
According to market expert Daan Crypto Trades on X social media, Ethereum’s recent price action has been choppy following two slow weeks of trading. The analyst’s chart shows that ETH has oscillated between $4,100 and $4,800, with several stop hints and liquidity grabs creating false moves on both the bullish and bearish side.
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Despite these fluctuations, the $4,400 zone, which sits around the 200-day Moving Average (MA) on the 4-hour chart, continues to act as the key support level that stands between ETH and the $5,000 milestone. Daan Crypto Trades noted that this critical support is not just technical but also aligns with strong accumulation levels.
The analyst highlighted that Bitmine Immersion Technologies, Inc. (BMNR) has been steadily adding to positions, though at a slightly lower pace as Net Asset Value (NAV) flows ease. This shows that as long as Ethereum can maintain its price above the $4,400 support level, buyers may remain in control. The chart clearly illustrates this battle for support. ETH’s dips below $4,500 have so far been short-lived, with price consistently bouncing back into the consolidation range.
This repeated defense strengthens the case for Ethereum to sustain its momentum and build the foundation for a run above $5,000. For now, patient accumulation within the consolidation zone appears to be the market’s strategy as the cryptocurrency gears up for a potential breakout once broader conditions align.
$5,000 Is Only A Matter Of Time
In a follow-up analysis, Daan Crypto Trades reinforced his bullish view, noting that Ethereum is essentially in a “$5,000 waiting room.” The analyst’s chart highlights this view, showing ETH rebounding strongly after retesting the $4,400 region. With both the 200 MA and 200 EMA on the 4-hour chart acting as underlying support, the cryptocurrency’s structure appears intact despite short-term volatility.
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Daan Crypto Trades suggested that while a retest of $4,000 – $4,100 is still possible, the market is unlikely to sustain a breakdown below that zone as long as ETH holds $4,400. In other words, maintaining this critical support could pave the way for new all-time highs.
The chart also reflected the market’s resilience, with ETH rejecting the lows and quickly climbing back toward $4,600. Such a rebound often signals that bulls may be preparing for the next leg higher. If the momentum continues, Ethereum retesting its former all-time high of $4,868 and breaking above $5,000 may only be a matter of time.
ETH trading at $4,516 on the 1D chart | Source: ETHUSDT on Tradingview.com
Featured image from Getty Images, chart from Tradingview.com
What began as a decentralized dream is being remade into a corporate infrastructure with gatekeepers and tolls. Observer Labs
When blockchain first emerged, it was treated as a “great leveler”—a system where anyone could build, trade and innovate without a green light from banks or tech giants. Exactly that vision powered the first crypto wave in the early 2010s and inspired hopes that a more democratic financial internet was within reach.
But today, the reality looks very different. What began as an open playground for developers has become an arena where the world’s largest corporations compete for dominance. Google is building its own blockchain-based payment network, while Samsunghas launched Cello Trust, a logistics platform built on the technology.
Are these just signs of healthy adoption? Not exactly. A tool designed for decentralization is gradually turning into a profit center, with rules increasingly shaped from the top rather than the edges.
Why big tech moved in
Before diving deeper, it’s important to look at the movement’s origin. The story started quietly enough. When blockchain first appeared, little more than a few Fortune 500 companies launched pilot programs, treating it as just another novelty in the innovation lab. It didn’t seem to be a full-scale shift, just prototypes and proof of concept. But then money started flowing.
Stablecoins, once an oddity, began to take center stage. They nowsettle transactions in the tens of trillions each year—numbers that confront, or sometimes even surpass, Visa’s throughput. Suddenly, those “pilots” stopped appearing as side projects. They turned into early positions for the next phase of financial infrastructure.
Regulators then signaled legitimacy. U.S. courts clarified custody and payment rules while Europe introduced the legal framework MiCA, offering a single standard across member states. Meanwhile, Asia, the Gulf and others began openly courting digital-asset firms. As a result, big corporations got the message: It’s finally safe to commit capital and play for keeps.
By the time all three pieces lined up, the picture became clear. Blockchain had transformed into a stage where the largest players could step in with full confidence and enough power to shape the market to their advantage.
The subtle mechanics of enclosure
Once the giants moved in, the technology started to bend. Simply put, blockchain, which earned its reputation by being borderless and permissionless, is now being reshaped into controlled environments. Take Google’s Universal Ledger, whichis labelled as “neutral” but in fact functions as a permissioned system. Access, upgrades and participation are dictated by the operator, not the global network. Thus, the promise of openness is replaced by the comfort of compliance.
That shift goes on. A blockchain tied to the corporate stack—a cloud that hosts your data, a wallet that holds your funds or a system that processes your transactions—is a lock-in mechanism. Once you’re inside this mechanism, switching to a different one becomes costly. So, as in the case of Google, convenience often means less control, and moving away becomes harder over time.
Even the meaning of “trust” is changing. Back in the day, trust came from code and consensus, rules that no single person could rewrite. However, in a corporate-led world, trust is a service-level agreement or a compliance guarantee, which, perhaps, feels safer, but is not the same thing. Naturally, once a public good, trust has now become a “private contract.” That’s the irony.
And so, adoption accelerates, though it comes at the expense of openness. The infrastructure is being built quickly, but the more it resembles traditional corporate infrastructure, the less it looks like the financial internet blockchain was meant to be.
The real cost of corporate rails
What’s happening these days is no longer just an abstract fight over competition. It’s about who captures values, who gets to set the rules and what kind of market will be handed over to the next generation. When the core layer is privately controlled, the obvious outcomes, such as higher user costs, fewer independent innovators and a fragile stack that can be rewritten by boardroom decisions, are predictable.
And there’s a close precedent. In the U.S., Apple’s App Store has shown how quickly a platform can turn into a toll road. Epic Gamesmade clear how a single operator could impose steep fees on every transaction and block competing payment options. This is about higher costs both for developers and consumers, who pay more and get fewer choices. So, blockchain, if enclosure hardens, risks following the same path.
If we’re aiming for a different outcome, then it’s high time to appeal to practical guardrails that keep the benefits of scale while preventing enclosure. Start with interoperability. That means corporations that operate ledgers for payments or logistics should support open messaging and data-portability standards. In that case, users and services can leave without losing history or liquidity.
Then, stop self-preferencing on platforms that work both in the cloud and as ledgers, because pricing, listing and priority should be transparent and disputable. Finally, demand clarity around validator and token custody concentration so regulators, customers and markets can spot every failure long before they break.
Here, Ethereumoffers an interesting case. One staking service provider’s dominance had grown so large over the last year that researchers warned it had almost started to outsize its influence over the entire network. Eventually, that share has fallen as new competitors entered, but the fear was enough to prove the key point: too much power in one provider’s hands is a risk no system can afford.
Keeping the promise alive
Blockchain’s future will be shaped less by code and more by control. If it becomes another corporate toll road, innovation will slow and profits will concentrate at the top. Again, that’s not the future this technology was meant to deliver.
It’s still early enough to swing the axe. Guardrails like interoperability, transparency and limits on self-preferencing—already basic lessons from telecom, payments and antitrust—can maintain the benefits of scale while preventing enclosure. Applied now, these rules could mean the difference between an open financial internet and a corporatized one that simply replicates the old order.
Vitalik Buterin has finally responded to concerns about Ethereum’s 45-day unstaking queue, explaining that it is important to the network’s defense.
His comments follow an ongoing debate within the crypto community over the long waiting time.
Buterin’s Defence
The controversy began when Galaxy Digital’s Michael Marcantonio publicly criticized Ethereum’s lengthy exit queue via X, calling it “troubling.” In the now-deleted posts, he compared the network’s unstaking process to that of Solana’s, which only needs two days.
“Unclear how a network that takes 45 days to return assets can serve as a suitable candidate to power the next era of global capital markets,” read the post.
Robert Sagurton, co-founder of FogoChain, commented that waiting 45 days or even 2 days for a withdrawal felt too long, suggesting that slow banks are even beating them at UX. Another X user responded by clarifying that bank withdrawals are not the same as unstaking.
Buterin weighed in on the debate, saying that staking is about “taking on a solemn duty to defend the chain.” He compared it to a soldier leaving the army, noting that some friction in quitting is necessary since the unit cannot function if its members can walk away at any moment.
The metric spiked to a two-year peak of 2.6 million ETH due to institutional accumulation late last week, and has remained high since then. Data from the validatorqueue website shows that Ethereum has an exit queue of 2.5 million ETH, with an estimated waiting time of approximately 43 days and 6 hours.
Meanwhile, there is 442,541 ETH waiting to enter the network, with an expected activation delay of around 7 days and 16 hours. Validator participation also remains strong, with more than 1 million active validators. In total, 35.6 million ETH has been staked, accounting for nearly 30% of the entire token supply.
The Ethereum co-founder admitted that the current staking queue design is not necessarily “optimal”, but emphasized that if the constants were reduced naively, it would make the chain much less trustworthy from the point of view of any node that does not go online very frequently.
Community Backlash
Elsewhere, Marcantonio’s comments received some backlash from the X crypto community. Former Consensys product manager Jimmy Ragosa suggested that the wave of criticism against the chain was causing its partners to reconsider their business ties with Galaxy Digital.
Educator Anthony Sassano said he would advise against working with the firm, stressing that deleting tweets did not change the fact that its DeFi lead misunderstood the industry and preferred spreading Ethereum FUD rather than presenting facts. On the other hand, Mike Dudas defended Galaxy, noting that while some stakeholders might distance themselves, the firm had already shown its ability to create value with Solana by connecting to several participants.
Following the events, crypto lawyer Gabriel Shapiro claimed that the company pressured its head of DeFi to delete posts attacking the network, describing the behavior as manipulative.
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Ethereum’s mid-sized whale cohort is sitting on massive paper gains, reaching levels not seen since the network’s last market peak almost four years ago.
Analyst CryptoOnchain has shared data showing wallets with between 10,000 and 100,000 ETH seeing unrealized profits rise to cycle highs, a sign that historically came right before selling pressure increased.
Whale Wallet Profits Mirror Previous Market Top
According to the analysis, this uptick in unrealized profits among average-sized whales highlights a stage in the cycle where investor psychology can significantly shape price action.
In previous instances, including the 2021 peak, such levels coincided with either large-scale profit-taking or, at a minimum, heightened selling pressure. While the data does not guarantee an imminent correction, it suggests that the market has entered a zone where whale decisions could dictate Ethereum’s near-term trajectory.
“This does not necessarily mean an immediate correction,” wrote CryptoOnchain. “It highlights a critical stage in the cycle where investor psychology and whale behavior could heavily influence price action.”
The timing of these gains is also notable. Ethereum has rallied more than 95% in the last year and 8.7% over the past month, and was trading at $4,591 at the time of this writing, just 6.9% below its record high of $4,946.
Furthermore, in the last week, ETH has oscillated between $4,404 and $4,762, with intraday swings between $4,440 and $4,637 in the past 24 hours. This ideally puts whales in a position of strength, as many of them accumulated at significantly lower levels during Ethereum’s consolidation phase.
Still, the market backdrop is complicating the whale picture. For example, as chartist Ali Martinez reported previously, big investors sold 90,000 ETH worth more than $400 million in just 48 hours, leaving them with only 15.4 million tokens. Those moves may have been opportunistic profit-taking before yesterday’s Federal Reserve meeting, but they also showed how quickly whale actions can change the market if sentiment turns.
Institutional Signals and Price Trajectory
Renewed institutional participation is also helping offset the risk of whale-driven sell-offs. Evidence of this was provided by CQ analyst PelinayPA on September 17, who highlighted that Ethereum’s Fund Market Premium (FMP), which compares futures prices to spot prices, has been steadily rising since July. That trend shows that institutional buyers are willing to pay more than the current price for exposure, which is often seen as a sign of long-term rallies.
Meanwhile, on the charts, ETH remains pinned below the $4,850 resistance level after months of climbing within a steep ascending channel, as noted in CryptoPotato’s latest pulse check. The asset continues to print higher highs and higher lows, supported by a bullish moving-average crossover, yet momentum is fading as traders await a breakout.
If whales decide to lock in profits, ETH could revisit the $4,000 zone. But if they hold, or if institutions absorb the selling, analysts see a realistic chance of the altcoin breaking above $5,000 before the month’s end.
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My name is Godspower Owie, and I was born and brought up in Edo State, Nigeria. I grew up with my three siblings who have always been my idols and mentors, helping me to grow and understand the way of life.
My parents are literally the backbone of my story. They’ve always supported me in good and bad times and never for once left my side whenever I feel lost in this world. Honestly, having such amazing parents makes you feel safe and secure, and I won’t trade them for anything else in this world.
I was exposed to the cryptocurrency world 3 years ago and got so interested in knowing so much about it. It all started when a friend of mine invested in a crypto asset, which he yielded massive gains from his investments.
When I confronted him about cryptocurrency he explained his journey so far in the field. It was impressive getting to know about his consistency and dedication in the space despite the risks involved, and these are the major reasons why I got so interested in cryptocurrency.
Trust me, I’ve had my share of experience with the ups and downs in the market but I never for once lost the passion to grow in the field. This is because I believe growth leads to excellence and that’s my goal in the field. And today, I am an employee of Bitcoinnist and NewsBTC news outlets.
My Bosses and co-workers are the best kinds of people I have ever worked with, in and outside the crypto landscape. I intend to give my all working alongside my amazing colleagues for the growth of these companies.
Sometimes I like to picture myself as an explorer, this is because I like visiting new places, I like learning new things (useful things to be precise), I like meeting new people – people who make an impact in my life no matter how little it is.
One of the things I love and enjoy doing the most is football. It will remain my favorite outdoor activity, probably because I’m so good at it. I am also very good at singing, dancing, acting, fashion and others.
I cherish my time, work, family, and loved ones. I mean, those are probably the most important things in anyone’s life. I don’t chase illusions, I chase dreams.
I know there is still a lot about myself that I need to figure out as I strive to become successful in life. I’m certain I will get there because I know I am not a quitter, and I will give my all till the very end to see myself at the top.
I aspire to be a boss someday, having people work under me just as I’ve worked under great people. This is one of my biggest dreams professionally, and one I do not take lightly. Everyone knows the road ahead is not as easy as it looks, but with God Almighty, my family, and shared passion friends, there is no stopping me.
Ethereum developer Davide Crapis announced on Monday that the Ethereum Foundation was starting a new AI team called the dAI Team.
The team’s mission is to “make Ethereum the preferred settlement and coordination layer for AIs and the machine economy.”
Two key areas of focus are enabling AI agents and robots to conduct payments, coordination, and governance without intermediaries and creating open, verifiable, censorship-resistant alternatives to prevent AI’s future from being controlled by a few centralized entities.
Ethereum Makes AI More Trustworthy
“We believe Ethereum can be as useful for today’s AI developers as it will be for the sci-fi future,” said Crapis.
The strategic approach aims to bridge the gap between AI and blockchain communities that have traditionally worked separately.
The team also aims to collaborate with protocol and ecosystem teams to align protocol improvements with AI builder needs and fund innovative public goods to establish Ethereum as the optimal platform for AI.
“Ethereum makes AI more trustworthy, and AI makes Ethereum more useful. The more intelligent agents transact, the more they need a neutral base layer for value and reputation. Ethereum benefits by becoming that layer, and AI benefits by escaping lock-in to a few centralized platforms.”
Currently, major AI platforms are tightly controlled by profit-driven tech giants such as OpenAI, Anthropic, Microsoft, Google, and Meta.
Introducing: The dAI team
This work will strengthen Ethereum as the trust and coordination layer for AI. https://t.co/L5e3kOAwZk
The dAI team will advance the ERC-8004 standard for AI agent identity verification and trust, which is inspired by Vitalik Buterin’s defensive accelerationism (d/acc) philosophy.
The team is in its infancy at the moment, but is actively hiring as it expands.
Tom Lee Bullish on AI
Speaking on CNBC on Monday, Fundstrat’s Tom Lee said that AI moving onto the blockchain will drive Ether prices this year, reiterating his “ChatGPT moment for crypto” comments.
Lee also said in a BitMine holdings update this week that the convergence of both Wall Street moving onto the blockchain and “AI and agentic-AI creating a token economy is creating a supercycle for Ethereum.”
According to the official Ethereum website, there have been recent innovations of AI agents ranging from virtual influencers and autonomous content creators to real-time market analysis platforms on the network.
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The Ethereum price has been in a crucial consolidation phase, with analysts closely watching the next big move. After reclaiming the $4,500 level, the cryptocurrency is now facing one last obstacle before potentially breaking into uncharted territory. Crypto market expert Ted Pillows has set Ethereum’s next price target at $5,000, signaling a potential new all-time high.
Ethereum Price Faces Major Hurdle Before $5,000
In a recent technical analysis published on X social media, Pillows explained that Ethereum has successfully reclaimed the $4,500 support level, a point that had previously been a stumbling block for bulls. Now, the market is laser-focused on its next price hurdle at $4,880, which has emerged as the final barrier before a potential breakout.
Related Reading
According to his price chart, a daily candle close above the $4,880 resistance could open the doors to a fresh all-time high and quickly accelerate Ethereum’s momentum toward the $5,000 milestone. Just last month, ETH shocked the market by breaking its 2021 all-time high and climbing past $4,900. Now, the cryptocurrency looks ready for its next big move, with Pillows confirming $5,000 as the short-term target.
Ethereum’s struggle around the $4,880 level comes from repeated failures to push higher at this point in previous sessions. Each rejection has reinforced $4,880 as a strong resistance, making it the decisive point for bulls to conquer. A clean break above it could invalidate bearish short-term pressure and potentially trigger an influx of buying volume.
However, if Ethereum once again fails to hold above this level, the price could retreat to lower supports. Pillows identified the $4,200 – $4,400 range as the primary demand zone where buyers could step back in. This area has historically provided strong support and could act as a springboard for another attempt to retest the resistance.
ETH Rejected At $4,650 But Holds Support
In a follow-up analysis, Pillows noted that Ethereum failed to reclaim the $4,650 level, making its path to reach the $4,880 resistance even more difficult. The rejection at $4,650 has raised concerns of a near-term pullback, with the $4,500 region now being the key support to watch.
Related Reading
If ETH holds above $4,500 and gains fresh bullish momentum, Pillows suggests that another attempt at reclaiming $4,650 could occur, potentially setting the stage for the long-awaited $4,880 breakout. On the downside, Ethereum maintains strong structural support between $3,800 and $4,000. This range has acted as a crucial demand zone during past corrections, absorbing selling pressure and enabling bulls to re-accumulate.
For longer-term investors, Pillows noted that this support zone presents a significant buy-dip opportunity. He said that if ETH declines to this level, many altcoins would also enter attractive discount zones, presenting broader accumulation opportunities across the market.
ETH trading at $4,511 on the 1D chart | Source: ETHUSDT on Tradingview.com
Featured image from Adobe Stock, chart from Tradingview.com
Semilore Faleti is a cryptocurrency writer specialized in the field of journalism and content creation. While he started out writing on several subjects, Semilore soon found a knack for cracking down on the complexities and intricacies in the intriguing world of blockchains and cryptocurrency.
Semilore is drawn to the efficiency of digital assets in terms of storing, and transferring value. He is a staunch advocate for the adoption of cryptocurrency as he believes it can improve the digitalization and transparency of the existing financial systems.
In two years of active crypto writing, Semilore has covered multiple aspects of the digital asset space including blockchains, decentralized finance (DeFi), staking, non-fungible tokens (NFT), regulations and network upgrades among others.
In his early years, Semilore honed his skills as a content writer, curating educational articles that catered to a wide audience. His pieces were particularly valuable for individuals new to the crypto space, offering insightful explanations that demystified the world of digital currencies.
Semilore also curated pieces for veteran crypto users ensuring they were up to date with the latest blockchains, decentralized applications and network updates. This foundation in educational writing has continued to inform his work, ensuring that his current work remains accessible, accurate and informative.
Currently at NewsBTC, Semilore is dedicated to reporting the latest news on cryptocurrency price action, on-chain developments and whale activity. He also covers the latest token analysis and price predictions by top market experts thus providing readers with potentially insightful and actionable information.
Through his meticulous research and engaging writing style, Semilore strives to establish himself as a trusted source in the crypto journalism field to inform and educate his audience on the latest trends and developments in the rapidly evolving world of digital assets.
Outside his work, Semilore possesses other passions like all individuals. He is a big music fan with an interest in almost every genre. He can be described as a “music nomad” always ready to listen to new artists and explore new trends.
Semilore Faleti is also a strong advocate for social justice, preaching fairness, inclusivity, and equity. He actively promotes the engagement of issues centred around systemic inequalities and all forms of discrimination.
He also promotes political participation by all persons at all levels. He believes active contribution to governmental systems and policies is the fastest and most effective way to bring about permanent positive change in any society.
In conclusion, Semilore Faleti exemplifies the convergence of expertise, passion, and advocacy in the world of crypto journalism. He is a rare individual whose work in documenting the evolution of cryptocurrency will remain relevant for years to come.
His dedication to demystifying digital assets and advocating for their adoption, combined with his commitment to social justice and political engagement, positions him as a dynamic and influential voice in the industry.
Whether through his meticulous reporting at NewsBTC or his fervent promotion of fairness and equity, Semilore continues to inform, educate, and inspire his audience, striving for a more transparent and inclusive financial future.
America is coming on-chain, and it is using Ethereum as its ledger, said Ryan Sean Adams from Bankless on Thursday.
“In the coming decades, I believe Ethereum could become the root of trust for $100 trillion in American capital markets,” he added.
He said that America’s real-world asset tokenization drive could see as much as $120 trillion in stocks, bonds, and exchange-traded products go on-chain in a “multi-decade transformation.”
“In short, tokenization has been mostly illegal in the U.S. through 2024, but not only has it become legal in 2025, it’s now being pushed by the U.S. government in an effort to modernize U.S. markets. Wall Street and FinTechs are incented to make this happen.”
RWA Onchain Value at ATH
With the US dollar as the world’s reserve currency and US treasuries as the world’s reserve asset, Ethereum will become the world’s ledger, he said.
People are still underestimating Ethereum.
They don’t know America is coming onchain and it’s using Ethereum as its ledger.
I demonstrated that Ethereum is leading in real world asset market share but let’s add another dimension.
Ethereum’s total value locked growth is looking like early 2021, he said in a separate post.
According to DeFiLlama, the Ethereum ecosystem TVL is currently $94 billion, which isn’t far from its 2021 peak of $108 billion. Over the past three months, it has surged 57%.
Ethereum is “the fastest growing economy ever,” observed ‘Milk Road,’ adding that it clears more value than Visa, has more dollars circulating than PayPal, and institutions are stacking it as a major treasury asset.
“Ethereum is no longer just a blockchain. It’s a digital economy scaling faster than anything we’ve seen before.”
Real-world asset value on-chain hit an all-time high this week of $29 billion, excluding stablecoins and $307 billion including them, according to RWA.xyz.
More than 75% of this total value is tokenized on Ethereum, layer-2 networks, and EVM (Ethereum virtual machine) protocols.
Additionally, a recent Bloomberg report indicated that BlackRock was planning to tokenize its ETFs. It did not mention Ethereum directly, but it could be the chosen network since the firm’s tokenized money-market fund (BUIDL) was launched on it.
Great article from my colleague @olgakharif about BlockRock’s plans to tokenize ETFs and other funds. Just like everyone downplaying digital assets being proven wrong over the last decade. Those downplaying tokenization will likely be proven wrong as well https://t.co/gAMwghK0z3
ETH prices tapped a two-week high of $4,530 during early Asian trading on Friday morning. The asset is now up 2.8% on the day and is just 8.5% away from its all-time high.
Some analysts still expect a big September correction, but Ether has remained largely sideways for the past month as support above $4,200 solidifies.
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The steady appreciation in the Ethereum price continues to mirror how resilient the cryptocurrency has become in the market. Despite the waves of skepticism experienced in the past, there seems to have been a recent major shift in investor behavior, which shows a level of optimism in the potential growth of the Ether token.
Ethereum Netflow Across Exchanges Consistently Negative
In a September 13 post on social media platform X, on-chain analyst Darkfost revealed how Ethereum’s investors have been acting behind the scenes over the past few months.
Related Reading
According to Darkfost, there has been a major shift in investor behavior since Ethereum’s last price drop from $4,000 to $1,500. At the time, the prevailing investor mood was fear, uncertainty, and doubt (FUD) — emotions which did not play so much of a role in affecting the long-term activity of investors.
Darkfost reported that the netflow across all exchanges has been “consistently negative” since the major Ethereum price drop; this means that more ETH is leaving exchanges than they are being deposited.
Source: @Darkfost_Coc on X
According to the on-chain analyst, around 56,000 ETH is being withdrawn daily over an average of 30 days. Interestingly, this figure has not been seen since the depths of the last bear market.
Recently, there have been days when more than 400,000 ETH were withdrawn. What is more interesting is that the exchange netflows have not turned positive since July.
As earlier inferred, this trend of token movement represents a shift in the holding behavior of Ethereum investors, as they move their assets off trading platforms to non-custodial wallets for long-term storage. Ultimately, this suggests that holders are becoming increasingly confident in the ETH’s long-term promise.
As of this writing, the Ether token is valued at around $4,660, reflecting no significant price change in the past 24 hours. According to data from CoinGecko, the price of Ethereum has increased by almost 10% in the past seven days.
BTC And ETH Reserves Drop 23% And 20% Respectively
In a separate post, Darkfost analyzed the Bitcoin and Ethereum Exchange Reserve metrics across all exchanges and estimated how much of these cryptocurrencies have left exchanges in 2025.
According to the online pundit, Bitcoin reserves across all exchanges have dropped by almost a quarter of their total holdings since the year’s beginning. The BTC exchange reserves have dipped by 23% to about 2.47 million BTC from 3.05 million BTC as of January 1, 2025.
Source: @Darkfost_Coc on X
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Ethereum exchange reserves, on the other hand, did not immediately start to decline until the month of May. As mentioned in the earlier post, ETH supply on exchanges began to fall following a reversal triggered by its fall to below $1,500. Over the last four months, Ethereum reserves have fallen to 17.1 million from 20.6 million, representing a 20% decline.
A significant decline in exchange reserves is often interpreted as a sign of accumulation among investors. This trend could be a bullish catalyst for the two largest cryptocurrencies, especially Ethereum, considering that the coin movement started more recently.
The price of ETH on the daily timeframe | Source: ETHUSDT chart on TradingView
Featured image from iStock, chart from TradingView
In a recent post on X, crypto analyst CRYPTOWZRD shared a bullish daily technical outlook for Ethereum (ETH), highlighting a strong close that suggests further upward movement is likely. The analyst’s primary expectation is for more gains to follow as the ETH/BTC pair begins to surge. This key relationship is a central focus for the analyst, as a strong performance from Ethereum against BTC often signals a broader bullish period for ETH itself.
ETH And ETHBTC Daily Candles Flash Strong Bullish Close
Giving a detailed market update, CRYPTOWZRD highlighted that both Ethereum’s daily candle and the ETHBTC pair closed strongly bullish. ETHBTC’s surge occurred as Bitcoin’s dominance weakened, providing altcoins with room to build momentum. This shift marked a significant move for Ethereum, reflecting renewed strength in the broader market structure.
According to his analysis, ETHBTC successfully broke out of its daily falling wedge pattern, a move that often signals the start of a bullish reversal. Ethereum mirrored this strength, pushing higher alongside the breakout, which further reinforced optimism among traders who have been watching closely for signs of sustained upside momentum.
Examining key levels, CRYPTOWZRD highlighted that $5,000 remains the primary daily resistance for Ethereum. A decisive break above this threshold could ignite an impulsive rally, potentially driving ETH toward the $5,780 resistance zone or even higher. On the downside, $4,000 is seen as the critical daily support, providing a safety net for bulls should price action cool off in the short term.
Despite the strong outlook, he noted that his primary focus will stay on the lower time frame chart formations for tomorrow, as these provide opportunities for quick scalps and short-term trades. However, with the weekend approaching, CRYPTOWZRD is maintaining a rational stance.
Volatility Offers Both Risk And Opportunity In The Current Setup
Crypto analyst CRYPTOWZRD has stated that the intraday chart for Ethereum is showing significant volatility, with more expected in the near term. This high level of fluctuation is something he is prepared for and is a normal part of the market as it searches for a new direction.
In the meantime, CRYPTOWZRD has outlined two potential scenarios. If BTC’s price pulls back toward the $4,500 level, it will then show a clear bullish reversal. Another scenario would be if Ethereum holds strong and breaks above the $4,765 resistance, it would signal a new upward leg.
Ultimately, the analyst advises exercising patience and waiting for the market to present a clear, healthy trade setup. This cautious approach acknowledges the current volatility, and the market’s next move will dictate the next best opportunity.
The latest on-chain data shows that the second-largest cryptocurrency by market capitalization, Ethereum, may be currently undervalued. Having witnessed a strong resurgence in the past week, the altcoin could be on the verge of an extended rally over the next few weeks.
Ethereum’s NVT Ratio Hits New Record Low
In a Quicktake post on the CryptoQuant platform, crypto analyst CryptoOnchain reported that there has been a disproportionate increase in transaction volume concerning ETH compared to its market capitalization.
The relevant indicator here is the Ethereum NVT (Network Value to Transactions ratio) (30-day SMA), which measures the ratio of Ethereum’s market capitalization to its daily transaction volume over the span of 30 days.
Related Reading
CryptoOnchain revealed that the 30-day moving average NVT recently hit its lowest point ever recorded. As explained by the on-chain analyst, this could suggest two things: firstly, that the Ethereum token is undervalued.
For context, a low NVT reflects very high transaction volume compared to a relatively low market capitalization. What this means is that the Ethereum network is being heavily used, but the price isn’t showing its worth as much as its usage suggests. Following this logic, one could conclude the market is currently undervaluing Ethereum’s utility.
The second indication from the historically low NVT is that the increase in transaction volume could be due to “temporary factors such as DeFi, NFT events, or large capital movements.” According to the analyst, these temporary factors do not necessarily mean sustainable growth for the ETH price.
What To Expect
CryptoOnchain cited historical occurrences to explain the typical case where an NVT bottom is a result of market undervaluation. In this case, it has been observed that sharp NVT bottoms precede bullish phases.
However, in what was a caveat, the online pundit mentioned that there have been cases where very low NVT levels were accompanied by further price declines.
Seeing that the Ethereum NVT is not just at a mere low level, but at its all-time low, it seems more likely that the market is undervaluing the token’s worth. It is therefore not out of the question to expect a more upward swing in the price of the cryptocurrency.
Nevertheless, with the possibility that a bullish phase might not necessarily follow in mind, investors might want to tread cautiously. As of this writing, the Ethereum token is valued at approximately $4,670, reflecting an over 4% price increase in the past 24 hours.
The price of ETH on the daily timeframe | Source: ETHUSDT chart on TradingView
Featured image from Shutterstock, chart from TradingView
A new report from Protocol Guild has shown that Ethereum’s core developers are being paid far below industry standards.
The survey collected responses from 111 out of 190 Guild members and found that most are earning 50% to 60% less than their peers in similar roles.
Compensation Gap
Median salaries for surveyed Ethereum developers came in at about $140,000, compared with offers averaging $300,000 at rival projects. The report also detailed pay by area of focus, with average salaries at $130,000 for client developers, $215,000 for researchers, and $130,000 for coordination roles.
Additionally, these contributors said that they don’t get any equity or token exposure from their employers. The general allocation was $0, with only 37% of respondents receiving anything. On the other hand, final-stage offers made to their peers at rival organizations in the past year included a median equity or token share of 6.5%. This ranges from cofounder-level allocations of 10% to 30% to early employee grants of 0.1% to 3%.
The gap has created pressure; almost 40% of respondents have received outside job offers in the past year. In total, 108 were disclosed across 42 individuals, with the average package reaching $359,000. Some developers said they had been offered as much as $700,000 to move elsewhere.
Closing the Pay Disparity
Established in 2022, Protocol Guild has become a lifeline for such developers. Backed by the “1% Pledge” from projects including EigenLayer, Ether.fi, Taiko, and Puffer, the group has distributed over $33 million since launch. VanEck also pledged 10% of profits from its spot Ether ETF to the initiative in 2023.
Over the last 12 months, the average Guild member received $66,000 through this funding, while the median distribution was $74,285. That support represented nearly one-third of total annual compensation for many employees, with the mean pay rising from $140,000 to $207,121.
Survey responses show how important this extra support has been, with 59% of participants rating Guild funding as “very” or “extremely important” to their ability to keep working on Ethereum.
The network has secured nearly $1 trillion in value, serves millions of users, and powers thousands of applications reliant on key upgrades. Protocol Guild warned that inadequate compensation puts Ethereum at risk by undermining developer retention, slowing progress on the roadmap, and threatening long-term neutrality.
The group also emphasized that aligning pay with market rates is important to keep talent in place and ensure the ecosystem’s future growth.
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