Ethereum Drops Below Whale and ETF Buy Zones in Deepening 2026 Slump

TLDR

Table of Contents

Ethereum trades below $2,000, down more than 30% year-to-date in 2026.
BitMine’s unrealized ETH losses exceed $7 billion amid the latest price drop.
ETF investors’ average ETH cost is around $3,500, now well above market value.
On-chain data shows ETH is leaving exchanges, signaling ongoing accumulation.

Ethereum has dropped over 30% in 2026, falling below key price levels tied to whale and ETF investor entries. The decline has pushed many major holders deep into unrealized losses, with BitMine alone now down over $7 billion. Despite the pressure, on-chain data reveals that large investors are not exiting—instead, they continue accumulating and staking ETH, signaling a focus on long-term commitment over short-term market movements.

Ethereum Falls Below Whale and ETF Entry Levels

Ethereum (ETH) has fallen more than 30% in 2026, with its price currently below $2,000. This decline pushed the asset below the average entry points of major institutional holders, including whales and ETF investors.

According to BeInCrypto Markets, Ethereum dropped 4.58% in the past 24 hours, and was trading at $1,971 at the time of reporting. The current market price is now lower than the average buy-in for accumulation wallets and ETF holders, with the estimated ETF cost basis near $3,500.

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— CoinMarketCap (@CoinMarketCap) February 10, 2026

James Seyffart, a Senior Research Analyst at Bloomberg Intelligence, stated, “The drawdown went beyond 60% at the most recent bottom.” He added that this mirrors the losses seen in April 2025.

BitMine’s Losses Climb But Staking Grows

BitMine, known as the world’s largest Ethereum treasury, has seen its paper losses grow above $7 billion. Just last week, losses stood at $6 billion, according to data from CryptoQuant.

Despite the sharp losses, BitMine continues to acquire and stake ETH. Reports confirmed the firm bought 40,000 ETH recently and staked another 140,400 ETH. This brings its total staked amount to 2.97 million ETH, valued at $6.01 billion.

BitMine has now staked about 68.7% of its total Ethereum holdings. This suggests a longer-term commitment to the network, as staking typically involves a locked holding period and supports blockchain security.

On-Chain Data Shows Accumulation Persists

On-chain metrics indicate that large holders have not exited their positions. In fact, some wallets are still adding to their ETH balances. A pseudonymous analyst, CW8900, noted that Ethereum has dropped below the realized price of whale accumulation addresses.

Accumulation activity started in mid-2025. These wallets are now sitting on unrealized losses as ETH trades below their average entry points. However, CW8900 stated, “Their accumulation is proceeding even more aggressive. The current price will likely appear attractive to ETH whales.”

CryptoQuant also reports that Ethereum’s exchange net position change is negative. This means more ETH is being withdrawn from exchanges than deposited. Historically, this behavior is associated with accumulation rather than selling.

ETF Holders Under Pressure But Still Holding

Ethereum ETF investors are also experiencing large unrealized losses. As of now, Ethereum trades nearly 40% below the average ETF entry point. However, most ETF investors have not exited their positions.

James Seyffart reported that Ethereum ETF net inflows have declined from $15 billion to under $12 billion. This suggests some outflows but also points to continued long-term interest.

“This is a much worse selloff than the Bitcoin ETFs on a relative basis but still fairly decent diamond hands in grand scheme,” Seyffart noted.

Although some capital has exited, the majority of ETF investors appear to be holding their positions. This could suggest continued belief in Ethereum’s long-term value.