Ethereum founder Vitalik Buterin has clearly expressed concerns during a live broadcast: the US stock companies associated with the Ethereum treasury may pose potential risks to the development of ETH in the future, and could even lead to its decline.

From the current market perspective, the recent rise of ETH lacks fundamental support, which is well understood by both institutions and retail investors—essentially, it is a fund-driven increase akin to "stepping on one's own toes," typical of a "spiral upward" market. The logic behind its rise heavily relies on two major sources of funds; once ETF funds and ETH treasury companies stop accumulating, the buying momentum will disappear, and prices are likely to face a correction.

This dependency has already been fully manifested in the weekend market: due to institutions being closed, market liquidity has been insufficient, making ETH's performance weaker compared to BTC. One could say that the influx of funds from ETH treasury companies is like "Viagra," capable of boosting prices effectively in the short term, but once the "medication" is stopped, the upward momentum of ETH may rapidly fade away.

Although there is currently a "water buffalo" market led by large funds providing support, and "a water buffalo is also a bull," the core of investment still needs to recognize the essence of the market—this is an unbroken bubble. For investors, the key is to grasp the timing of exiting; by clearing positions in time before the bubble bursts, one can more accurately respond to market fluctuations and avoid potential risks. $BTC $ETH #BitDigital转型 #美联储取消创新活动监管计划 #加密市场回调