Holders of Ethereum (ETH) are finding themselves in a similar financial position to the depths of the FTX collapse. Data from Glassnode reveals that approximately 54 million ETH are currently being held at an unrealized loss, a metric not seen since November 2022, when ETH prices bottomed out around $1,100 following the FTX implosion.
Key Takeaways
- Significant Supply in Loss: Around 54 million ETH is currently trading below its purchase price, matching the low point seen during the post-FTX market capitulation.
- Historical Parallels: This level of unrealized loss was last observed at the cycle bottom in November 2022, a period that preceded a substantial recovery for ETH.
- Origin of Losses: A large portion of this “underwater” ETH was acquired during ETH’s peak near $4,950 in August 2025.
- Network Strength: Despite current price action, the underlying Ethereum network fundamentals are considered significantly stronger now than in 2022, potentially supporting a more robust recovery.
- Institutional Accumulation: Large corporate holders, like Bitmine, are actively accumulating ETH, viewing current price weakness as an opportunity given the network’s fundamental improvements.
The current “supply-in-loss” reading suggests that selling pressure may be nearing exhaustion, mirroring the conditions observed before ETH’s impressive recovery in the subsequent years after the FTX event. While this doesn’t guarantee a repeat performance, it places the current loss profile in historically significant territory. For instance, Bitmine, the largest corporate ETH holder, has been actively buying into this weakness, asserting that current prices do not reflect the network’s fundamental progress.
Potential Value Analysis
The current market conditions for ETH present a compelling case for opportunistic accumulation, especially for those looking for early-stage value. The fact that roughly 54 million ETH are held at a loss, a level not seen since a major market bottom, indicates a potential inflection point. Historically, such deep capitulation has often been followed by significant upward price movements. The underlying network, meanwhile, continues to evolve with enhanced scalability and developer activity, suggesting that any potential recovery could be more sustainable than in previous cycles. Investors who can weather the current volatility might find themselves positioned for substantial gains if the historical pattern holds true.
“Who is the marginal buyer of ETH”
If Ethereum wins as financial infrastructure, with adoption tied to fees/eth burn, the largest institutions building on top will view the ability to own a piece as a huge plus
Permissionless to use, build on, and buy in
(Uniswap is similar)— Hayden Adams 🦄 (@haydenzadams) June 16, 2026
Source: : www.bankless.com