Ethereum News: Price Breaks $2K Barrier Amid Holesky Testnet Shutdown; Potential for $10K Rally?

In the world of cryptocurrencies, Ethereum (ETH) has once again grabbed headlines as its price surged above the $2,000 mark. This recent rally comes amidst news of the Ethereum Foundation (EF) shutting down the Holesky testnet due to technical issues. Let’s dive into the details of this latest development and what it could mean for the future of Ethereum’s price.

Ethereum Price Breaks $2K as Holesky Shuts Down—Is a $10K Rally Coming?

Ethereum (ETH) price traded above $2,020 midweek after the Ethereum Foundation (EF) announced it would shut down the Holesky testnet on Sept. 30 due to prolonged technical issues. Although there was a quick retracement below $2000, the bearish trap on ETH price could be easing soon. The decision to shut down Holesky follows extensive inactivity leaks due to a bug in validator client configuration. To replace Holesky, EF launched the Hoodi testnet on Monday.

Ethereum-based RWA Protocol Zoth Hacked for $8.85 Million

Zoth, an Ethereum-based platform focused on tokenized real-world assets, suffered a second major security breach on March 21, with attackers draining $8.85 million in digital assets. The company confirmed the breach and is working with security experts to investigate. The hack involved the attacker compromising an admin key and gaining control of a Zoth proxy contract, enabling unauthorized fund transfers. Onchain analysis shows that $8.85 million in USD0++ stablecoins were drained and converted into 4,223 ETH.

Tornado Cash Cleared from OFAC Sanctions List, But Legal Challenges Continue

On March 21, 2025, the U.S. Treasury Department declared its decision to drop cryptocurrency service Tornado Cash from its sanctions list. The Office of Foreign Assets Control (OFAC) first placed Tornado Cash on its sanctions list in 2022 due to its role in providing North Korean hackers and other criminal actors opportunities to cleanse stolen funds. The decision followed a federal court ruling made in late 2024 which stated that OFAC violated its regulatory power by sanctioning Tornado Cash smart contracts. Following the delisting announcement, the Tornado Cash token surged 40%. However, the U.S. Treasury maintains sanctions on Tornado Cash’s founder despite delisting the addresses.

Tornado Cash Addresses Removed From Sanction List, Developer Remains on Blacklist

The U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) has officially removed Tornado Cash, a cryptocurrency mixer, from its Specially Designated Nationals (SDN) List. The decision follows a ruling in January by the U.S. Court of Appeals for the Fifth Circuit reversing the sanctions previously imposed on Tornado Cash. However, one of Tornado Cash’s founders, Roman Semenov, remains on the SDN list with the North Korea Sanction tag.