Ethereum holds above $1,900: is the next major breakout finally taking shape?

Ethereum has rejected the 100-day EMA after failing to surge past the $1,950 level, with the bulls still in control of the market. 

ETH’s rally over the last 24 hours comes after Ethereum treasury company BitMine Immersion Technologies (BMNR) reported its quarterly earnings. 

The company generated US$45.7 million (approx. $59 million) in staking and validator revenue during the quarter ended May 31, highlighting the growing contribution of Ethereum staking to its business model.

According to the company's latest Form 10-Q filing with the US Securities and Exchange Commission (SEC), staking operations accounted for nearly 98% of total quarterly revenue, which reached US$46.5 million (approx. $60 million).

The performance marks a dramatic increase from US$2.1 million (approx. $2.6 million) in revenue recorded during the same period a year earlier.

The remaining revenue came from $624,000 in self-mining activities and $168,000 in consulting services.

Ethereum staking becomes BitMine's primary revenue driver

The sharp revenue growth follows the launch of BitMine's Made in America Validator Network (MAVAN) earlier this year.

The company said it has now staked approximately 4.9 million ETH, positioning it to generate an estimated US$242 million (approx. $312.2 million) in annualized staking revenue based on current network conditions.

According to CryptoQuant, the Ethereum network currently has approximately 40.8 million ETH staked, underscoring the growing importance of validator participation following Ethereum's transition to proof-of-stake.

Despite ongoing market volatility, BitMine has continued to increase its digital asset exposure.

The loss was primarily driven by a US$15.4 million (approx. $19.9 million) unrealized decline in the value of its digital asset holdings and a US$92.1 million (approx. $118.8 million) loss on derivative contracts.

These losses were partially offset by US$16.5 million (approx. $21.3 million) related to warrant liabilities and US$5.3 million (approx. $6.8 million) in net interest income.

Looking over a longer period, BitMine's financial results were significantly weaker.

Over the first nine months of its fiscal year, the company reported a $9.1 billion net loss, largely due to approximately $9.03 billion US$9 billion (approx. $11.7 billion) in unrealized losses on its cryptocurrency holdings.

Despite ongoing market volatility, BitMine has continued increasing its digital asset exposure.

Since the end of the reporting period, the company has expanded its treasury to include:5.77 million ETH, 206 BTC, and US$482 million (approx. $621.9 million) in cash and marketable securities.

The growing Ethereum reserve further reinforces BitMine's strategy of generating recurring income through staking while maintaining substantial exposure to the cryptocurrency's long-term value.

Ethereum technical outlook: ETH bulls could retest the 100-Day EMA

The ETH/USD 4-hour chart remains bullish as Ethereum is up by more than 1% over the last 24 hours. 

According to Coinglass data, the cryptocurrency recorded approximately US$109.3 million (approx. $141 million) in liquidations, including $88.95 million US$89 million (approx. $114.8 million) in short liquidations, suggesting bearish traders were squeezed as prices moved higher.

Ethereum remains in a constructive short-term trend, holding above both the 20-day Exponential Moving Average (EMA) at $1,773 and the 50-day EMA at $1,808

The next major obstacle for buyers sits near the 100-day EMA at $1,949, a level that could determine whether the current rally extends further.

Momentum indicators continue to support the bullish outlook. Relative Strength Index (RSI) at 70 is approaching overbought territory while indicating buyers remain in control.

If Ethereum breaks decisively above the 100-day EMA, the next upside targets would be the $2,018 psychological level. 

A decisive close above this level could expose ETH to higher resistance zones at $2,107 and $2,211 in the near term.

On the downside, traders should monitor support at the $1,909 breakout level.

Failure to defend this support could see ETH retest the 50-day EMA at $1,806, with another major demand zone at $1,773 (20-day EMA). 

A break below these levels could weaken Ethereum's current bullish structure and increase the likelihood of a deeper correction.

For now, ETH remains technically positive, but the battle around the 100-day EMA near $1,950 is likely to determine the cryptocurrency's next major directional move.