Ethereum is approaching its first three-quarter losing streak as prices continue to weaken, institutional strategies diverge, and staking absorbs supply amid persistent negative sentiment. The world’s second-largest cryptocurrency by market capitalization fell below $1,800 after failing to break through the key $2,400 resistance level.
Ethereum Approaches a Historic Quarterly Decline
CoinGlass quarterly return data shows that Ethereum closed the fourth quarter of 2025 in negative territory and has continued falling through the first and second quarters of 2026. Another negative quarterly close would mark three consecutive losing quarters for the first time, extending a downturn that has lasted longer than previous corrections. While Ethereum has faced major price declines before, recoveries typically followed within one or two quarters. This time, sustained selling has kept pressure on bullish traders for an extended period.
BlackRock and BitMine Follow Opposite Paths
Large institutions have not moved in unison during Ethereum’s decline. According to market updates, BlackRock sent additional Bitcoin and Ether to Coinbase Prime while reducing its Ether exposure. The asset manager sold Ether for seven consecutive trading days, with its most recent purchase occurring about two weeks before the latest report.
In contrast, Tom Lee’s BitMine continued buying the asset despite broader market weakness. The firm added 27,084 ETH—worth approximately $42.5 million—to its corporate holdings, raising its total position to 5.7 million ETH. That holding represents about 4.72% of Ethereum’s total supply.
Staking Absorption Complicates Market Positioning
Analytics firm CryptoQuant notes that Ethereum now faces a collision between negative sentiment and supply absorption through staking. The firm describes this combination as a precarious environment, particularly for short-sellers. Staking reduces the amount of organic supply available for active trading, while weak sentiment can increase volatility as buyers and sellers react to changing support levels.
The question remains: Can staking absorption contain further selling while major institutions continue taking opposite positions? Traders are watching whether Ethereum can hold key support areas after its move below $1,800. Trading volume has remained subdued during the latest phase, showing cautious participation across the market. This reduced activity adds another layer of uncertainty around Ethereum’s near-term price direction.
What’s Next?
Ethereum faces a possible third consecutive negative quarter as weak sentiment and selling pressure continue. BlackRock has reduced exposure while BitMine expands its holdings, and staking absorbs available supply. Market participants are advised to monitor support levels, institutional activity, and trading volume before making trading decisions.
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