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Ethereum News Today: Ethereum Faces a Pivotal Moment: Will the Rise of Altcoin ETFs Ignite a Bullish Recovery?

Ethereum News Today: Ethereum Faces a Pivotal Moment: Will the Rise of Altcoin ETFs Ignite a Bullish Recovery?

Bitget-RWA2025/11/23 22:16
By:Bitget-RWA

- Ethereum faces critical support at $2,873, with RSI near oversold levels signaling potential deeper correction or trend reversal above $3,554 EMA. - Altcoin ETFs (XRP, SOL) attract $500M inflows vs. $4.2B outflows from BTC/ETH ETFs, reflecting shifting institutional/retail capital allocation. - Coinbase's $1M ETH-backed USDC loans and $73.6B Q3 DeFi credit volume highlight Ethereum's role in onchain liquidity solutions. - Arbitrum challenges Ethereum's RISC-V proposal, advocating WebAssembly for smart co

Ethereum’s recent price movements and technical signals are once again capturing the focus of market analysts, as the cryptocurrency tests crucial support zones that could reveal the underlying strength of this market phase. While

remains steady around $85,500, (ETH) is holding above its immediate support at $3,000, yet it continues to trade beneath significant moving averages, such as the 200-day Exponential Moving Average (EMA) at $3,554. The daily Relative Strength Index (RSI) stands at 32, approaching oversold conditions, which points to mounting bearish pressure. If ETH drops and stays below $2,873—a level last reached on Nov. 20—it could confirm a larger downward move toward $2,000. Conversely, could signal a shift in trend direction.

Ethereum News Today: Ethereum Faces a Pivotal Moment: Will the Rise of Altcoin ETFs Ignite a Bullish Recovery? image 0

Across the wider crypto sector, investor attitudes are also evolving. Exchange-traded funds (ETFs) centered on altcoins, especially those tracking

and (SOL), have seen over $500 million in net inflows in under a month. This stands in contrast to the $4.2 billion withdrawn from Bitcoin and Ethereum ETFs during the same timeframe. The divergence signals a rising interest from both institutions and individual investors in smaller-cap tokens, which often precedes a more mature bull market. For example, the on its first trading day, while Solana ETFs managed by Grayscale, Bitwise, and VanEck have collectively gathered $541.31 million in assets.

Coinbase’s latest move to expand its onchain lending offerings further highlights Ethereum’s significance in the changing crypto landscape. The platform now lets users borrow up to $1 million in

using as collateral through the protocol, with ETH-backed loans reaching a total borrowing volume of $1.25 billion. This trend is consistent with the broader growth in decentralized finance (DeFi), where in Q3 2025, according to Galaxy Research. This service appeals to long-term ETH holders who want liquidity without selling, potentially helping to maintain demand during turbulent times.

Debates over Ethereum’s technical direction are also heating up. Offchain Labs, a key developer behind the

Layer 2 solution, has pushed back against Ethereum co-founder Vitalik Buterin’s suggestion to move the blockchain’s execution layer to the RISC-V instruction set architecture (ISA). The team contends that WebAssembly (WASM) presents greater long-term benefits for deploying smart contracts, citing its robust structure, compatibility across platforms, and advanced development tools. By differentiating between a “delivery ISA” for storing contracts on-chain and a “proving ISA” for ZK proofs, Offchain Labs aims to ensure Ethereum remains adaptable as proving technologies evolve .

Bitcoin’s recent lagging performance has further complicated the market outlook. Despite Japan’s $135.4 billion economic stimulus package to counter inflation,

continued its slide below $85,500, wiping out all gains made in 2025. At the same time, Ethereum’s distinctive role as a programmable blockchain and its influence in DeFi and NFT sectors may enable it to outperform in the coming cycle, .

To sum up, Ethereum’s technical durability, growing institutional participation, and ongoing technological discussions will be key in shaping whether this market cycle accelerates. While Bitcoin faces ongoing challenges, altcoins and Ethereum-led developments are playing an increasingly important role in the digital asset space.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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