Ethereum
Over the past two weeks, Ethereum has shown similar dynamics to Bitcoin. The decline during this period was insignificant, amounting to only 1,86%. However, on January 6, the price of ETH was 15% higher than the current price and reached $3,744.6.
The fall of Ethereum, as in the case of Bitcoin, is largely due to US economic statistics. However, there is another significant factor behind the decline in the value of the second largest cryptocurrency by capitalization: the actions of major market players.
In early 2025, the Ethereum Foundation, a Swiss nonprofit organization that develops the Ethereum network, sold 100 ETH for 329,463 DAI. According to the organization, the funds were used to finance research projects. Given the current low demand for ETH, even such a relatively small transaction can have a significant impact on the price.
ETH spot ETFs are also showing negative dynamics. Over the past seven trading sessions, outflows were observed in four cases. On January 8, $159.34 million was withdrawn from spot exchange-traded funds, the second largest outflow since the start of ETF trading, second only to the figure of July 26, 2024, when $162.67 million was withdrawn.
Technical analysis indicates the dominance of sellers in the Ethereum market. The price is below the 50-day moving average, and the RSI indicator has dropped below 50, which confirms the downtrend. A change in sentiment to positive is possible when the resistance level of $3,744.6 is overcome, while the support level remains at $3,005.8.
Cardano
This cryptocurrency has been the best performer, showing an increase of 6,19% over the past two weeks. However, the pattern of price movements was similar to larger cryptocurrencies: after peaking at over $1.15 on January 7, the rate entered a correction phase.
The beginning of 2025 was marked by a series of important events and announcements for Cardano. On January 8, the project's founder Charles Hoskinson shared plans for the future of the Hydra protocol, which attracted significant attention in December 2024 when it demonstrated an impressive throughput of more than 1 million transactions per second. The team now plans to move Hydra from playtesting to real-world use in everyday applications.
A particularly significant event was the official announcement of Cardano's cooperation with FC Barcelona on January 9. Although rumors about this partnership appeared at the end of 2024, the official confirmation came with a message from Cardano Foundation CEO Frederik Gregaard. The partnership envisages the creation of a large-scale ecosystem of Barca Vision's Web3, which will include:
- Creating career opportunities for young fans
- Training programs on blockchain technologies
- A reward system for fans in the form of NFT and ADA tokens
- Launch of the Andamio platform, where fans can work on real club projects
An additional positive signal was the decision of the Grayscale Digital Large Cap Fund (GDLC) to include Cardano in its portfolio following a rebalancing in the fourth quarter of 2024, replacing Avalanche. ADA's share in the portfolio amounted to 1.44%.
Despite the flow of positive news and the development of the ecosystem, technical analysis indicates that bearish sentiment prevails in the Cardano market. This suggests that fundamental improvements and partnerships are not always instantly reflected in the asset price.
#Ethereum #Cardano
