Behind Ethereum's 3.79% decline in the past 24 hours, multiple driving forces are at play in a game of tug-of-war.

**Subtle Signals from Capital Flows**

Institutions have not chosen to exit. The ETHA ETF under BlackRock continues to attract capital, with the latest inflow reaching $23.25 million, indicating that traditional capital remains optimistic about Ethereum's long-term prospects. More aggressive are the whales; BitMine Immersion recently bought another 33,504 ETH, investing $112 million, targeting 5% of circulating supply by early 2026 — this doesn’t seem like a bearish move.

Within the Ethereum ecosystem, the reserve of stablecoins is an even covert trump card: $16.9 billion in size, accounting for over half of the total stablecoins across the network. What does this mean? Ample liquidity, and once sentiment shifts, the capacity to mobilize funds is extremely strong.

**Hidden Risks Not to Be Underestimated**

But the market is never short of risks. A leading whale account has leveraged $666 million long across multiple assets, including 175,000 ETH, with unrealized losses now reaching $14.6 million. More painfully, if the price drops below $2,936, this position could trigger a liquidation worth $1.064 billion; conversely, breaking through $3,243 could force a margin call on shorts totaling $1.596 billion. Such a massive cliff-like liquidation level could trigger sharp volatility in the market.

Macroeconomic uncertainties are also amplifying anxiety — rumors suggest the Bank of Japan may hike interest rates next week, with further tightening plans in 2026. Such news often triggers a re-pricing of global liquidity.

**Technical Rebound Signals**

Indicators like RSI show that this downward move has pushed Ethereum into oversold territory. Historical experience suggests that such extreme conditions are usually a prelude to a rebound. Many in the community believe that market participants have already digested the previous rate hike expectations, and smart money has been deploying at the lows. The current volatility could merely be technical shakeouts.

Short-term fluctuations cannot alter the long-term capital game.