According to a recent analysis released by Tom Lee, head of Fundstrat Global Advisors, via Deep Tide TechFLOW on August 26, Ethereum (ETH) is expected to reach a temporary bottom in the coming hours. This prediction is endorsed by the chairman of BitMine and is corroborated by technical indicators: the current RSI is nearing oversold territory, and Fund Flow Analysis (FSA) suggests that institutional funds may be buying on dips. Meanwhile, the DeFi protocol Aave v4 completed a significant development milestone, and Bitmine continued to add 4,871 ETH (worth $21.28 million), bringing its total ETH holdings to 1.718 million (approximately $7.6 billion). At this crucial moment when ETH is currently trading at 3,318.7 USDT, these technical and fundamental factors together outline a potential market turning point.
Tom Lee predicts that Ethereum (ETH) will bottom out within hours.
BitMine Chairman Tom Lee echoed market analysis by fund strategist Mark Newton, suggesting that Ethereum may be approaching a turning point. In a statement released on August 26 via Deep Tide Tech FLOW , Lee said, "ETH is expected to bottom out in the next few hours."
This announcement comes as traders are closely watching ETH's technical thresholds for signs of a reversal. Despite continued volatility on major exchanges, Lee's track record in cryptocurrency market predictions adds weight to this timing assessment. Technical indicators show the RSI nearing oversold territory, and the FSA (Funds Flow Analysis) suggests institutional funds may be buying on dips.
Key Cryptocurrency Developments: Aave v4 Milestone, Bitmine's ETH Accumulation Strategy, and Eclipse's Strategic Shift
The Aave engineering team has achieved a significant development milestone, integrating all DAO service providers into the v4 codebase. Founder Stani.eth confirmed the mainnet launch is imminent, indicating the protocol's continued dominance in the decentralized lending market.
Bitmine continues its aggressive accumulation of Ethereum, adding 4,871 ETH (worth $21.28 million) through FalconX. The mining giant now holds 1,718,770 ETH ($7.6 billion) as part of its $8.8 billion crypto asset portfolio, representing a weekly increase of $2.2 billion.
A massive influx of WLFI tokens occurred, with 655 million tokens (6.55% of the supply) flooding into the Lockbox contract within hours of launch. Two of the top ten holders have participated in a lock-up mechanism, which will allow 20% to be unlocked gradually starting September 1st.
Eclipse Labs underwent a major restructuring following its Token Generation Event (TGE), replacing its CEO and cutting 65% of its workforce. New leader Sydney has shifted the strategic focus to building groundbreaking applications on its LAYER 2 infrastructure, marking a strategic shift from its previous roadmap.
Fundstrat analyst Tom Lee supports his prediction that ETH will rebound to above $5,400.
Ethereum is exhibiting highly attractive risk-reward dynamics, with Fundstrat analyst Mark Newton predicting near-term support at $4,300, followed by a rebound to the all-time high zone. Technical configurations suggest an impending reversal, with upside targets concentrated between $5,100 and $5,450.
BitMine Chairman Tom Lee further reinforced this analysis, emphasizing that ETH is well-positioned as institutional investors increasingly view blue-chip cryptocurrencies as macro assets. This prediction comes as market awareness of the advantages of Ethereum's network upgrades compared to its competitors continues to grow.
Tom Lee maintains a bullish stance on Ethereum, ignoring market corrections.
Despite the recent market downturn, Bitmine Chairman Tom Lee remains confident in Ethereum's bullish trajectory. Citing technical analyst Mark Newton, Lee believes ETH may bottom out around $4,300 within hours, and if it breaks through resistance, upside targets could reach $5,100 and the $5,400–$5,450 range.
Newton's analysis suggests a low probability of ETH breaking below the $4,067 support level from August 18th. The short-term risk-reward ratio appears attractive, reinforcing Lee's long-standing bullish stance. Bitmine's large ETH holdings further confirm this belief, but investors should be aware of the company's reliance on leveraged funds.
The top five Ethereum fund management companies hold more than 4 million ETH.
The top five Ethereum fund management companies collectively hold over 4 million ETH, demonstrating strong institutional confidence in the asset. BitMNR leads with 1,718,770 ETH, followed closely by Sharp LINK Gaming with 740,800 ETH. The Ether Machine, BitDigital_BTBT, and ETHZilla_ETHZ finish the list with 345,400 ETH, 120,300 ETH, and 102,200 ETH, respectively.
Such concentrated holdings highlight Ethereum's growing importance as a core asset in institutional crypto portfolios. The size of these positions reflects both long-term conviction and strategic accumulation in the face of evolving market dynamics.
Whales purchased $2.55 billion worth of ETH through Hyperunit, pledging all their holdings to demonstrate long-term confidence.
A report from blockchain analytics platform Arkham shows that a whale completed a $2.55 billion Ethereum acquisition through HYPE runit and subsequently locked up all its holdings through a single staking contract, demonstrating its long-term bullish stance on the asset.
This massive acquisition, one of the largest single ETH transactions of the quarter, occurred during the early trading session. Such large institutional moves typically foreshadow increased market volatility, as concentrated positions withdrawing from exchanges impacts market liquidity and price discovery mechanisms.
