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Ethereum Updates: DATs Offload Ether to Boost Stock Prices, Triggering Market Fluctuations and Investor Concerns

Ethereum Updates: DATs Offload Ether to Boost Stock Prices, Triggering Market Fluctuations and Investor Concerns

Bitget-RWA2025/11/20 23:52
By:Bitget-RWA

- FG Nexus sold 11,000 ETH to fund a stock buyback, triggering Ethereum's 2% dip and highlighting DAT sector instability. - Crypto treasury firms increasingly liquidate assets to prop up undervalued stocks, with ETHZilla's $40M token sale mirroring this trend. - Ethereum tests $2,850 support as whale accumulation rises, while BlackRock's staked ETH ETF filing offers limited short-term relief. - FG Nexus' $7.7M Q3 loss and rising debt-to-equity ratio underscore risks in its aggressive buyback strategy despi

Ethereum's value encountered fresh downward momentum as

, a digital asset treasury company specializing in , to finance a stock repurchase initiative, intensifying worries in the market about crypto treasuries selling assets to support share prices. This transaction, which brought in about $33 million at prevailing rates, was paired with $10 million in borrowed capital to buy back 3.4 million shares—representing 8% of the company’s outstanding shares—at an average of $3.45 each, well below the net asset value (NAV) of $3.94 per share. This action soon after the news broke, though it later recovered to hover near $3,033.72.

Zooming out, the broader environment reveals mounting instability in the digital asset treasury (DAT) space, where companies are more frequently compelled to liquidate crypto reserves to fund buybacks as their share prices remain significantly under the NAV of their assets.

along with $37 million in cash and stablecoins, but its liabilities have climbed to $11.9 million. Similar trends are evident across the sector, in tokens for similar reasons. Experts caution that this pattern could intensify downward pressure on if more DATs resort to asset sales to shore up their stock values.

From a technical perspective, ether is approaching crucial support points. The $2,850 mark has become a key area,

by large holders (wallets containing over 10,000 ETH) and a reduction in retail selling. Ethereum’s price has but still trades below important moving averages, such as the 200-day EMA at $3,554. Should the price fall below $2,800, it may slide further toward $2,700, while a sustained move above the 50-day EMA at $3,655 could point to a short-term bounce.

Ethereum Updates: DATs Offload Ether to Boost Stock Prices, Triggering Market Fluctuations and Investor Concerns image 0

Investor sentiment saw a temporary lift

, which could potentially boost institutional interest in ether. This move is consistent with broader industry shifts, such as the introduction of spot ETFs and the increasing embrace of crypto products by major investors. Nonetheless, Ethereum’s recovery prospects remain uncertain due to macroeconomic headwinds, suggested rate cuts may be postponed.

FG Nexus’s pivot toward managing Ethereum treasuries and tokenizing real-world assets (RWA) has

inspire greater investor trust. Although the company aspires to become the world’s largest ETH holder, , mainly due to losses from equity investments and dividend payouts. As of November 19, 2025, the firm’s balance sheet lists a total of 40,005 ETH, but as a result of aggressive buyback strategies.

With ether at a technical crossroads, the balance between corporate selling and institutional buying will likely shape its short-term direction. As the market keeps an eye on major support levels and regulatory changes like staking ETFs, volatility is expected to persist.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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