Ethereum (ETH) Price: Why BlackRock Stays Bullish While Token Drops 40%

TLDR

• Ethereum holds 66% of the tokenised real-world assets market, far ahead of competitors like BNB Chain at 10% and Solana at 5%.
• BlackRock predicts Ethereum will lead the next era of tokenisation despite the price trading 40% below its all-time high at around $3,000.
• Wall Street firms including JPMorgan and Morgan Stanley are making major Ethereum investments through tokenised funds and ETF filings.
• Ethereum ETFs have attracted billions in assets, with BlackRock’s iShares Ethereum Trust holding $11 billion and digital treasury firm Bitmine adding $100 million to its $13 billion stake.
• Ethereum faces immediate price pressure at $2,944, with technical indicators showing weakening momentum and bulls needing to reclaim $3,050 to avoid further decline.

Ethereum commands 66% of the tokenised real-world assets market, according to BlackRock’s 2026 outlook report. The $362 billion blockchain network maintains a dominant lead over competitors.

BNB Chain holds just 10% of the tokenised assets market. Solana captures 5%, while Arbitrum, Stellar, and Avalanche each control between 3% and 4%.

Jay Jacobs, US head of equity exchange-traded funds at BlackRock, wrote that Ethereum may benefit from growth in the next era of tokenisation. The firm published this projection in its latest market outlook.

The second-largest cryptocurrency trades at approximately $3,000. This price sits nearly 40% below the all-time high reached in August.

Ethereum has declined 10% over the past year. This drop contrasts with gains in technology stocks and gold, which both hit new all-time highs during the same period.

Wall Street Bets on Ethereum

JPMorgan selected Ethereum for its first tokenised money market fund in December. The money market fund sector holds $9 trillion in total assets.

Morgan Stanley filed for an Ethereum exchange-traded fund product in January. The move signals growing institutional interest in the cryptocurrency.

BlackRock’s iShares Ethereum Trust ETF manages $11 billion in assets. Data from DefiLlama shows similar products from Grayscale and Fidelity also hold billions in assets under management.

Digital asset treasury firms continue accumulating Ethereum tokens. Bitmine purchased another $100 million of the cryptocurrency on Tuesday, adding to its existing $13 billion holdings.

Tom Lee leads Bitmine as a well-known crypto bull. The firm stakes its Ethereum holdings in addition to buying tokens.

Technical Analysis Shows Pressure

Ethereum currently trades at $2,944.14, down 1.2% over 24 hours. The price dropped below the $3,000 level, putting bulls in a defensive position.

The Relative Strength Index sits at 40.26, indicating declining buying strength. The Moving Average Convergence Divergence has crossed into bearish territory, suggesting increased selling pressure.

The price remains below the 53.91 moving average. Bulls need to push the price above $3,050 to regain control of momentum.

Technical analyst Ted outlined two scenarios on social media platform X. If Ethereum reclaims the $3,000 to $3,050 range, the price could move toward $3,200 to $3,250.

A failure to break above $3,050 could lead to a drop between $2,915 and $2,940. This would expose Ethereum to additional downside risk and potentially new yearly lows.

Buyers are attempting to establish support around $2,970. Breaking back above $3,050 would provide bullish momentum toward the $3,200 target level.

Fabian Dori, chief investment officer at Sygnum Bank, explained that corporate players like digital asset treasury companies typically hold for the long term. By acquiring and staking Ethereum, these firms reduce liquid supply.

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