According to a report by CoinMeta, crypto research firm 10x Research published an analysis on the X platform, pointing out that Ethereum is at a critical juncture, facing a dual test of valuation and fundamentals. The market needs to determine whether its current downturn is a cyclical bottom or a sign of deeper structural damage. Ethereum treasury company Bitmine is currently suffering approximately $8.8 billion in paper losses, exceeding the approximately $8 billion lost by customers at the beginning of the FTX crash. Bitmine's significant increase in ETH holdings amid weakening demand and ETH prices approaching April 2021 levels has further fueled market controversy. This comparison highlights the potentially huge divergence in capital allocation outcomes and how timing and governance decisions determine the ultimate allocation of long-term value creation. Ethereum's current trading price is approaching a key valuation and cost range, and its core value proposition is facing a structural test. Investors need to carefully assess whether Ethereum is in a cyclical trough or entering a deeper phase of structural damage.