Crypto analyst and trader Ali Martinez, known on the X social media network as @ali_charts, has spotted that the Ethereum network has managed to reach the highest point in an important metric this year.

It happened despite the ETH price having declined to the $3,500 level lately.

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Ethereum active addresses hit yearly high

Martinez shared a Santiment chart, which shows a giant rise in ETH daily active addresses in July. The surge has reached 841,100 addresses, which is the highest value this year, according to Ali.

This surge happened just before the ETH price dropped from the $3,875 level to $3,540, where it is trading right now. The decline constituted almost 10%. Ethereum crashed following Bitcoin, which reacted to the Fed Chair Powell announcing that interest rates are so far to remain unchanged.

Ethereum ETFs absorb 8,183 ETH

Data shared by the X analytics account Lookonchain shows that on Aug. 1, 10 spot Ethereum ETFs scooped up a total of 8,183 ETH worth $29.83 million. BlackRock’s ETHA scooped up the largest part, 4,841 ETH valued at $17.65 million. Now, it holds 3,029,059 ETH worth $11.04 billion; 224,833 ETH is ETHA’s total inflows this week, according to Lookonchain.

Grayscale Ethereum Trust took in 1,989 ETH ($6,988,765), Fidelity Ethereum Fund sucked in 1,498 ETH ($5,263,534).

Perhaps no stock’s performance is more impacted by President Donald Trump’s actions than Trump Media & Technology Group (DJT -10.44%). Although the Trump administration’s recent tariff policies affected the entire stock market, Trump Media has specifically stated its success depends in part on President Trump’s popularity.

This has played out in Trump Media’s share price, which zoomed up to a 52-week high of $54.68 just days before the presidential election. But economic uncertainty fueled by inflation and further impacted by the dynamic tariff situation sank the company’s stock. At the time of this writing, its share price is less than half what it was before Donald J. Trump’s election win.

Does this bring Trump Media shares into buy territory? Or do reasons exist to avoid the stock? Let’s dig into the company to find out.

Image source: Getty Images.

Trump Media’s business performance

Trump Media relies entirely on revenue from digital advertising run on Truth Social, its social media platform. The company also provides consumers a streaming video product, Truth+, and recently announced a financial offering called Truth.Fi. However, by the end of the first quarter, neither Truth+ nor Truth.Fi had produced income.

Trump Media’s sole source of sales, Truth Social, delivered $821,200 in Q1 revenue, a 7% increase from the prior year. This is a promising start to 2025 since the company ended 2024 with a 12% year-over-year decline in sales to $3.6 million.

In addition, Trump Media boasts a strong balance sheet. Total assets were $918.9 million compared to $27.2 million in total liabilities at the end of Q1. The company has amassed a war chest of $759 million in Q1 cash, cash equivalents, and short-term investments. But that’s where Trump Media’s strengths end.

Areas of concern with Trump Media

An investment in Trump Media carries several outsized risks. Perhaps the biggest is that 93% of its revenue comes from a single customer. If that client decides to leave, Trump Media’s income collapses.

Also, the company is standing on shaky financial ground. Trump Media is not profitable, with a Q1 net loss of $31.7 million. This is because its Q1 operating costs totaled $40.4 million.

But a greater issue is the tepid revenue generated from Trump Media’s offerings. Truth Social’s sales aren’t covering its expenses, so it’s crucial for the company’s new Truth+ and Truth.Fi products to provide income soon. Another concern is that Trump Media noted in its Q1 earnings report that there existed “material weakness in our internal controls over financial reporting,” and it lacked “accounting personnel who have the requisite experience in [Securities and Exchange Commission] reporting regulation.”

This means its financial statements could contain errors and, depending on the extent of those mistakes, may lead to a misrepresentation of Trump Media’s finances. Although the firm is working to address this issue, the integrity of its earnings reports is questionable at this time.

Making a decision on Trump Media stock

Trump Media is in a precarious predicament, given the high costs of operating its business relative to the meager sales it’s bringing in. However, its emerging products might deliver the revenue Trump Media desperately needs, and its excellent balance sheet can sustain the company while these products build up their income streams.

So, does the company’s substantial stock price drop from its 52-week high tip the decision toward purchasing shares? Answering this question requires assessing whether its stock valuation is reasonable.

You can gauge this with the price-to-sales (P/S) ratio, which tells you how much you’re paying for every dollar of revenue the company earned during the trailing 12 months. This metric is commonly used to evaluate stocks for unprofitable businesses, such as Trump Media.

Data by YCharts. PS Ratio = price-to-sales ratio.

Over the past year, the company’s P/S multiple has undergone wild swings. Although it’s not at its peak at the time of this writing, it’s still exceedingly elevated, suggesting the stock is overpriced despite falling more than 50% from its high.

Given a pricy stock combined with significant risks, such as the potential for financial reporting errors and reliance on a single customer for nearly all its revenue, Trump Media shares are not a good investment at this time.

Perhaps the company deserves another look if its Truth+ and Truth.Fi products eventually generate sales. For now, there aren’t enough compelling reasons to buy Trump Media stock.

Warren Buffett certainly knows how to pick ’em. While the investing community reels from the impact of President Trump’s tariff program, many Buffett stocks are beating the market. Beating the market in this context could still mean losses that aren’t quite as bad. However, some Buffett stocks remain higher this year, and these are the kinds of established, safe stocks he loves and counts on. Consider how Coca-Cola (KO 2.24%) stock and Kroger stock (KR -0.92%) are faring as compared with the S&P 500 this year.

^SPX data by YCharts

Let’s see why investors are finding these stocks compelling right now.

1. Coca-Cola: The Dividend King

Coca-Cola reached a record high last week just after the tariff announcements when the markets plunged. It has since dropped a bit, too, but there’s no mistaking its incredible strength in the face of massive market pressure.

Part of what has been sinking the markets is the “flight to safety,” which means that investors pull their money out of riskier stocks and invest instead in rock-solid, safe stocks. Investors know that Coca-Cola is a company that won’t go under even in the event of a recession and that consumers will keep buying its popular beverages.

That doesn’t mean it will never struggle or report a decline; it did both early in the pandemic when revenue plummeted. But investors know that it won’t go under, that it will keep serving its non-alcoholic, ready-to-drink beverages, and that people will keep buying. It also doesn’t mean that Coke will be insulated from the impact of tariffs, but investors know that it will be able to manage through them.

Investors also know that Coca-Cola will pay and raise its dividend no matter what, which it continued to do under pandemic duress when its payout ratio exceeded 100%. Being able to rely on passive income despite economic pressure is an extremely attractive feature in a stock. Coca-Cola is a Dividend King, and it just raised its dividend for the 63rd year consecutively. There are only a handful or so of companies that can beat that reliability. Its yield is also usually high, although it’s lower now because the stock price has jumped, coming in at 2.9% right now. That’s still well above the S&P 500 average of 1.3%.

Buffett has praised Coca-Cola, Berkshire Hathaway‘s longest-held stock, time and time again, and now is one time where anyone can see why it’s a great safe stock to have in a portfolio.

2. Kroger: The supermarket giant

Like Coca-Cola, Kroger is a safer, dividend-paying stock. It’s the largest premium supermarket chain in the U.S., with more than 2,700 stores under several different brand names and $147 billion in trailing-12-month revenue. Shoppers will always need groceries, and many of them prefer the premium kind instead of the discount kind.

Because Kroger reports earnings on a different schedule than many public companies, it provided its 2024 fourth-quarter report (ended Feb. 1) early in March, when tariffs were already on the table. Management feels that the impact is likely to be less than that of other companies because it operates domestically in the food space. Although it does deal with international suppliers, it feels like it has an advantage over other operators and that there will only be a small impact on its business. Because it’s such a big business, it has leverage, and it’s already looking into diversifying its supplier base to account for the tariff impact. This update may have had a positive effect on Kroger’s stock as the tariff program rolled out, and investors already know that the impact is likely to be minimal.

Kroger stock is a fairly recent addition to the Berkshire Hathaway portfolio, and although it was somewhat distressed when Buffett and his team bought shares, it has since improved, and its stock has more than doubled over the past five years.

Kroger’s dividend yield is more modest than Coke’s, but it’s still well above the S&P 500 average at 1.9%. Kroger is another safe stock that investors can count on to provide essentials for its customers and pay reliable passive income for years.

Technical Analysis

By Edris Derakhshi

The Daily Chart

On the daily timeframe, ETH remains firmly in a bearish structure, consistently printing lower highs and lower lows. The rejection from the $2,200 region and a subsequent breakdown below $1,900 has re-established bearish momentum, with the price now heading toward the next major demand zone around $1,600.

The 200-day moving average also trends slightly downward and sits far above price action, reinforcing long-term bearish bias. Moreover, the RSI is hovering near the oversold region, but without any bullish divergence or momentum shift, there’s little sign of a reversal. Unless ETH reclaims $2,200 with strong conviction, the path of least resistance remains to the downside.

The 4-Hour Chart

The 4-hour chart confirms the breakdown of the rising channel that supported ETH’s previous recovery attempts. The price failed to hold above the $1,900 level, which had acted as support during consolidation, and is now grinding lower, at nearly $1,800.

The clean rejection from $2,100 and the sharp selloff suggest that buyers lost momentum quickly, and sellers stepped in with force. The RSI is also currently in deep oversold territory, but without a strong bounce or bullish structure forming, there’s little evidence of dip-buying interest. For now, ETH looks weak, and even if a short-term bounce occurs, it may be capped at $1,900 unless stronger buyers step in.

Sentiment Analysis

By Edris Derakhshi (TradingRage)

Funding Rates

Ethereum funding rates across all major exchanges have flipped to neutral or slightly negative, signaling a significant reduction in aggressive long positioning. This shift suggests that traders have become more defensive and less willing to chase upside, which typically aligns with a cooling-off period or continued downside drift.

While neutral funding may reduce the likelihood of a liquidation cascade, it also indicates that confidence is lacking for a strong bullish reversal. Sentiment remains cautious, and unless there is a resurgence of positive funding coupled with reclaiming key technical levels, the market is likely to stay under pressure.

The post Ethereum Price Analysis: Assessing ETH’s Outlook After Dropping to $1,800 appeared first on CryptoPotato.

Plus: Why hedge funds are dumping BTC ETFs

GM. Crypto’s been a wild orchard today – think oranges rolling, bananas bruised, and someone throwing coconuts. We’ve got the highlights without the mess.

SEC news.

News drops: MetaMask updates, Pi Network and Bybit beefing + more

Market flavor today

If you’re prioritizing mental health this year, here’s some advice: don’t check your portfolio today Might cry

But if you’ve been in crypto for more than a month, go ahead. You’ve seen worse. Every bull market comes with dips – some even nastier than this – and yet, we’re still here​​.

This latest pullback, as we discussed yesterday, started after Donald Trump decided to impose tariffs on basically anything that moves.

But Bitcoiner Kyle Chasse pointed out another factor: the collapse of a trading strategy called cash & carry.

Hedge funds found a way to make low-risk money by exploiting the price difference between two Bitcoin markets: spot BTC ETFs and BTC futures (contracts where people bet on Bitcoin’s future price).

Normally, Bitcoin futures trade at a premium (slightly more expensive than actual BTC). And hedge funds saw this as an opportunity:

1. Buy Bitcoin through a spot ETF;

2. Short BTC futures (aka, bet that Bitcoin’s price will go down);

3. Wait. Since futures were trading at a premium, they could collect the difference for an almost risk-free return – around 5.68% per year.

But this whole thing only works if futures stay more expensive than spot BTC.

Once the market started weakening tho’, that price gap disappeared. No premium = no more profits.

And since hedge funds don’t actually care about Bitcoin, they started exiting the trade – dumping their BTC ETFs and closing their short positions.

And just like that, with tons of Bitcoin suddenly being dumped, the price dipped, and everyone’s feeling the pain.

Now, Bitcoin has to find real buyers – people who actually believe in BTC and aren’t just looking for a quick trade. Until that happens, expect more volatility.

For the short term, experts expect this:

And when’s the bounce-back? Well, Santiment says social media is full of people yelling “BUY THE DIP”. But markets love proving people wrong – so we might only see a real bounce once that confidence starts fading.

TL;DR: wipe those tears and remember that patience is key.

Memecoin harvest

Invest responsibly, but also – how tf is this frog coin up?!

Data as of 06:20 AM EST.

Check out these memecoins and plenty more here.

Yeah, so the market’s been kinda disappointing lately – especially since people expected the most pro-crypto US administration ever to send our bagz to the moon.

That said, the SEC served a bunch of updates recently – and the future still looks promising.

1/ Case closed

Since last Friday, the SEC’s been closing investigations and dropping lawsuits like they’re HOT.

Here are the ones who got the golden ticket:

• OpenSea (NFT marketplace);

• Robinhood Crypto (crypto trading platform);

• Uniswap (DEX);

• Gemini (crypto exchange);

• Consensys (MetaMask developer);

• And last but not least – Coinbase.

2/ The broker-dealer rule

The SEC was this close to forcing all crypto liquidity providers and DeFi market makers to register as broker-dealers.

Basically, they wanted KYC and AML rules enforced in DeFi, which… yeah, would’ve made DeFi impossible.

But crypto advocacy groups fought back, and now, the SEC dropped the whole thing.

3/ Memecoins

The SEC confirmed that memecoins are NOT securities – meaning no one needs to register them with the SEC before launching.

Buuut that doesn’t mean memecoins are entirely off the hook: if a memecoin project is a scam, it can still be hit with enforcement action, just not by the SEC.

Overall – crypto’s getting closer to the regulatory clarity it’s been waiting for. That means:

• More market confidence → more adoption;

• More players entering → more investment options;

• (…fingers crossed)

All there’s left to do is wait and see if the SEC’s glow-up actually lasts.

News drops

MetaMask is letting Bitcoin and Solana join the party. Solana support launches in May (making it the first non-EVM chain on MetaMask), and Bitcoin integration is coming in Q3. Oh, and they’re planning to kill gas fees down the line.

Pi Network and Bybit are beefing. Bybit CEO Ben Zhou called Pi a scam, and an unofficial Pi Network X account responded that Bybit was just mad about a rejected listing.

THORChain dev Pluto quit after an attempt to block North Korean hacker funds got overturned. Validators voted to freeze Ethereum trading to stop the bad guys, but the decision got reversed almost instantly.

OpenAI dropped GPT-4.5, and it’s talking like a real human. The catch: it costs a small fortune.

Comedian William Banks rugged a Solana memecoin. He said it was to fund Palestinian aid and showed $50K in donations as proof.

Sip of gains

BitDegree’s Season 7 airdrop got even juicier – a sponsor has entered the chat

Yeah, I also thought it was already peak perfection. But BYDFi is throwing in an extra $1,000 USDC on top of the $30K prize pool.

If you forgot how this works (or just need motivation):

Do Missions, drag your friends into it → Earn Bits → Climb the leaderboard → Take the W home.

Easy? Easy.

The BYDFi stage ends on March 10, so if you miss out… well, that’s on you

Juicy memes