Institutional Confidence Grows in Ethereum (ETH) as Price Consolidates in a Tight Range

Michael Saylor’s Strategy (formerly MicroStrategy) added 130 Bitcoin (BTC) to its holdings between March 10 and March 16, spending approximately $10.7 million. 

The average BTC price for this purchase was $82,981. This marks the company’s smallest Bitcoin purchase since August 2024.

Why are MicroStrategy’s Bitcoin Purchases Becoming Smaller?

As of March 16, MicroStrategy holds 499,226 BTC, worth around $33.1 billion. The company’s overall average cost per Bitcoin stands at approximately $66,000.

This latest acquisition comes just weeks after MicroStrategy made its largest Bitcoin purchase of 2025. In February, the company spent $2 billion on BTC at prices above $97,000. 

Now, with Bitcoin trading lower, this smaller buy raises questions about the firm’s strategy.

“On-chain clues: Is Bitcoin gearing up for a major reversal? Active addresses peak, signaling potential bullish momentum ahead,” Saylor posted on X (formerly Twitter) today. 

One possible reason for the limited purchase is that MicroStrategy may be waiting for more capital from its stock offerings. 

Last month, the company raised $2 billion through a private offering of convertible senior notes. Most of those funds likely went toward its previous acquisition. If additional funding is needed, the company may be pacing its purchases.

MicroStrategy finances Bitcoin acquisitions through stock sales and zero-interest convertible notes without selling off other assets. 

While this approach has worked so far, the firm’s ability to raise capital depends on maintaining strong financial stability. A sharp rise in liabilities relative to assets could make future financing more difficult.

However, there’s a more concerning reason why MicroStrategy could have made such a small Bitcoin purchase today. 

Bitcoin is currently trading just below $83,000, and some analysts suggest the price has not yet bottomed. Arthur Hayes and other experts predict BTC could drop to around $70,000 before the next upward move.

BeinCrypto analysts believe the market is experiencing a temporary correction rather than the end of the bullish phase. 

If MicroStrategy shares this view, it may be waiting for a further dip before making a larger investment.

The post MicroStrategy Buys $10.7 Million in Bitcoin, Its Smallest Purchase of 2025 appeared first on BeInCrypto.

Over the past three months, the meme coin market has seen a sharp decline, with its total market capitalization dropping by 56.8%. 

This sharp decline has raised questions about whether the era of explosive growth for these digital assets has come to an end.

Meme Coin Market Sees Substantial Decline

Meme coins experienced a massive surge in popularity throughout 2024. Over the year, the total market capitalization skyrocketed by 500%, with the meme coin narrative dominating the crypto sphere. 

According to a CoinGecko report, meme coins were the most popular crypto trend in 2024. They accounted for 14.3% of total narrative interest—a significant rise from 8.3% in 2023.

Recent developments, however, present a contrasting narrative.

“There has been a significant drop in meme coin market cap since December. It’s the weakest narrative and not worth putting your money in it,” an analyst wrote on X.

As of March 5, the latest data showed the total meme coin market capitalization plummeted to $54 billion. This represented a 56.8% decline from its $125 billion peak on December 5, 2024. 

Trading volumes have also taken a hit, dropping 26.2% in the past month alone. This has raised concerns about the “meme coin supercycle.”

“Is this the end of the meme coin supercycle?” crypto analyst Lark Davis questioned.

A meme coin supercycle refers to an extended period of rapid growth and speculation in meme-based cryptocurrencies. However, with declining numbers across the board, the community is now grappling with fears that the hype may be fading for good.

Dogecoin (DOGE), which accounts for nearly half of the total meme coin market capitalization, has declined 21.7% in the past month. The downturn is not limited to DOGE. 

The second-largest meme coin, Shiba Inu (SHIB), has also suffered a substantial drop. Over the past month, it has slipped 10.6%. Similar trends have been observed in all 10 top meme coins.

The decline isn’t just affecting individual tokens—skepticism in meme coins as a whole appears to be rising. Elon Musk, for example, one of the most vocal supporters of DOGE, recently likened meme coins to “casinos.” He further cautioned against investing life savings in them. Meanwhile, Bitwise CIO Matt Hougan previously stated that the present time is the “end of the meme coin boom.”

Google Trends data further supports this waning hype. The search volume for “meme coin” has plummeted from a peak score of 100 in mid-January to just 8 last week. This suggested that public enthusiasm was fading as fast as it surged.

The impact of this downturn is being felt across the ecosystem, particularly on platforms that thrived during the meme coin mania.

Pump.fun, a popular meme coin launchpad, has seen its trading volume crash from $3.3 billion in January 2025 to just $814 million. This marked aa staggering 75.3% drop.

Additionally, the total number of tokens created on Pump.fun has been steadily decreasing since late January. Moreover, the daily revenue has also fallen sharply.

The post Meme Coin Market Shrinks by Billions—Is the Supercycle Over? appeared first on BeInCrypto.

Ethereum (ETH) is facing a sharp correction, dropping 11% over the past week as bearish momentum continues to dominate. The Relative Strength Index (RSI) remains weak, showing a lack of strong buying pressure, while the Directional Movement Index (DMI) confirms that sellers are still in control.

Additionally, the Exponential Moving Averages (EMA) are in a firmly bearish structure, suggesting that ETH could soon test critical support levels at $1,756 and potentially fall below $1,700 for the first time since October 2023.

ETH RSI Shows the Lack Of Buying Pressure

Ethereum Relative Strength Index (RSI) is currently at 34.4, recovering slightly after briefly dipping to 27.4 yesterday. The RSI has remained below the 50 mark for three consecutive days, signaling that bearish momentum is still dominant.

The RSI measures the speed and magnitude of recent price changes to assess whether an asset is overbought or oversold.

Typically, an RSI above 70 indicates overbought conditions, suggesting potential for a pullback, while an RSI below 30 signals oversold conditions, implying that selling pressure may be overextended and a bounce could be imminent.

With ETH’s RSI now at 34.4, it suggests that while the asset is still in bearish territory, the extreme selling pressure seen yesterday has eased slightly.

The brief dip below 30 signaled an oversold condition, which often leads to short-term relief rallies. However, for ETH to regain bullish momentum, the RSI would need to climb back above 50, indicating a shift in market sentiment.

Until then, any upward movement could face resistance, and the broader trend remains weak unless sustained buying pressure pushes ETH out of this bearish zone.

Ethereum DMI Shows The Current Downtrend Is Strong

Ethereum Directional Movement Index (DMI) chart shows that its Average Directional Index (ADX) is currently at 29.82, rising from 21.9 yesterday.

The ADX measures the strength of a trend, with values above 25 indicating a strong trend and readings below 20 suggesting a weak or nonexistent trend. Given the ADX’s sharp increase, it confirms that ETH’s ongoing downtrend is strengthening.

The +DI (positive directional index) has dropped to 15.4 from 23.1 in the past day, while the -DI (negative directional index) has surged to 37.8 from 27.3, reinforcing the dominance of sellers in the market.

With the -DI significantly above the +DI, it signals that bearish momentum is intensifying, and sellers continue to control ETH’s price action.

The decline in +DI suggests that buying pressure is weakening, making it more difficult for ETH to stage a recovery. Unless the +DI begins to rise and crosses above the -DI, ETH’s price is likely to remain under pressure.

Given that the ADX is nearing 30 and still climbing, the downtrend appears well-established, and any short-term relief rallies may face strong resistance before a meaningful trend reversal can occur.

Ethereum Is Still Struggling Below $2,000

Ethereum Exponential Moving Average (EMA) lines are displaying a strongly bearish setup, with short-term EMAs positioned below long-term ones.

This alignment confirms the continuation of downward momentum, with ETH having dropped over 11% in the last 24 hours. If the current trend persists, ETH could test the critical support at $1,756, a level that could determine whether further declines are imminent.

A breakdown below this support would expose Ethereum’s price to a potential drop below $1,700, a level not seen since October 2023, further reinforcing bearish sentiment in the market.

However, if ETH manages to reverse its downtrend, the first key resistance to reclaim would be at $1,996. A successful breakout above this level could trigger a stronger recovery, pushing ETH toward the next resistance at $2,320.

If bullish momentum accelerates, Ethereum could extend gains toward $2,546, a level that would mark a complete shift in trend structure.

For this to happen, ETH would need sustained buying pressure and a bullish EMA crossover, signaling a transition out of its current bearish phase.

The post Ethereum (ETH) Risks Falling Below $1,700 Amid Persistent Downtrend appeared first on BeInCrypto.