Summary Grayscale Ethereum Mini Trust ETF receives a buy rating, supported by improving relative strength versus Bitcoin and strong seasonal trends. ETH's technicals are mixed: it held $2600 support shows an RSI breakout but faces resistance at $4100 after a bearish death cross. The ETF's low 0.15% expense ratio and strong liquidity make it attractive for taxable accounts, though high volatility warrants small position sizing. I plan to re-enter ETH next week after a tax-loss sale, as early bullish indicators suggest the crypto market's correction may be ending. Ether has disappointed investors in 2025, particularly those who climbed aboard over the summer, when the cryptocurrency soared to near $5000. That’s also when Tom Lee of Fundstrat argued for much higher ether prices, which investors could gain exposure to through this Digital Asset Treasury Fund Bitmine Immersion (BMNR). I had a buy rating on the Grayscale Ethereum Mini Trust ETF (ETH) back in August . That turned out to be a lousy call, with ether falling below what I deemed “critical support” at the $4100 level. From there, the token plunged to near $2600... a support spot I detailed just a few weeks ago . So, I’m keeping with a buy rating on ETH. In fact, after taking a tax loss in November on my ether position, I plan to buy back in next week. My trade was selling an ETH ETF and buying the iShares Bitcoin ETF (IBIT). Catching my eye right now is a relative chart of ether to bitcoin. Ether shows relative strength for the first time since August, and I see that as a telltale sign that the entire cryptocurrency market’s bearish run lately may, in fact, be over. ETH -6% YTD Stockcharts.com According to the issuer , ETH is solely and passively invested in ether. Its investment objective is to reflect the value of ether held by the Fund, less expenses and other liabilities. Ether is a digital asset that is created and transmitted through the operations of the peer-to-peer Ethereum Network, a decentralized network of computers that operates on cryptographic protocols. The Ethereum Network allows people to exchange tokens of value, called ether, which are recorded on a public transaction ledger known as a blockchain. ETH is a small ETF with $2.3 billion in assets under management as of December 4, 2025. That’s down from $2.9 billion at the time of my previous analysis. The annual expense ratio is low at just 15 basis points, while there is no yield . Low cost and no distributions make ETH ideal for taxable brokerage accounts (not IRAs or HSAs). Share-price momentum has turned dreadful, now featuring a weak D- ETF Grade by Seeking Alpha’s quantitative scoring system. For perspective, it was an A+ just three months ago. But risk happens fast in the crypto space, and with a high historical standard deviation, ETH scores very poorly on risk metrics . Hence, my ether ETF stake will be only about a 0.5% portfolio weight (IBIT is 1.5% of my overall net worth). Finally, on liquidity , ETHA is highly tradable. Its average daily volume is north of 6 million shares, while the median 30-day bid/ask spread is tight at just two basis points, per Grayscale. So, key to my bullish thesis is relative price action between ether and bitcoin. I see a breakout underway, in which the often more speculative ether is jumping to multi-week highs versus bitcoin. The months-long correction with both coins may be over. And I’m putting my money where my writing is—I'll buy ETH early next week once my 30-day wash-sale period is over. ETHUSD vs BTCUSD: Breakout Stockcharts.com I encourage readers to check out my BMNR article from last month . I make the case that while Tom Lee’s product has its appeals, I’d rather own ether outright through a low-cost ETF. Tom Lee's Bold Ether Call BMNR Seasonally, there are tailwinds. Historically, gains have been strong from December through May, while volatility has been the theme from June through November. I like to say that seasonality is secondary to price, but this is a bullish factor to consider. ETHUSD: Bullish December-May Trends Barchart Finally, ether’s technical situation is mixed. Notice in the chart below that the token held key support at the $2600 mark, while a bearish death cross indeed occurred (it’s something I called out would be likely to happen in my BMNR article). But take a look at the RSI momentum oscillator at the top of the chart—it is just now breaking out of a downtrend. They say that momentum tends to turn before price, so this could be a bullish harbinger for ETH price action to come. Still, there remains a significant amount of volume by price up to the $4100 mark, and that level is major long-term resistance following the bearish false breakout in August. For now, technicals are not outright strong, but there are bullish early indicators. ETHUSD: RSI Breakout, Death Cross a Risk, $2600 Support Held Stockcharts.com The Bottom Line I have a buy rating on ETH. I plan to buy the ETF next week, as its relative strength to IBIT is at fresh multi-week highs, while ether itself has held long-term support. Bullish calendar trends are also underway.
