Ethereum's native token, Ether (ETH), has experienced a decline of over 1.66% to reach $3,700 on May 30, as part of a broader crypto market correction. The net capitalization of the crypto market has also dipped by up to 2.50% on the same day. Two key factors are driving the Ether price lower today: rising bond yields due to weaker demand for short-term Treasury notes and a recent decline in ETH holdings by large investors.

The decline in Ether's price coincides with a sharp increase in yields following a tepid U.S. debt auction this week. As dealers and investors seek higher returns, elevated Treasury yields, combined with growing expectations that the Federal Reserve may only reduce interest rates once this year, are putting pressure on the crypto market. When the U.S. dollar strengthens and yields on safer investments like Treasuries rise, investors tend to shift their funds away from riskier assets, including cryptocurrencies, in search of more stable returns. This leads to a decrease in demand for Ether, causing its price to fall.

Furthermore, Ether whales are selling their holdings, leading to a decrease in the ETH price. The supply of Ethereum held by entities with balances between 1 million and 10 million ETH has decreased by 1% in the past 24 hours, indicating a redistribution from larger to smaller Ether wallet cohorts.

Additionally, Ether's decline today is part of a correction that started on May 29, when its four-hour relative strength index (RSI) reading almost ventured into the overbought area above 70. An overbought RSI typically precedes a consolidation or correction period. The cryptocurrency's correction has also preceded a bearish divergence between its price and RSI, with the price forming higher highs and the RSI forming lower highs, indicating a waning buying sentiment in the market.

Technically, ETH has formed a double top pattern, marked by the creation of two consecutive peaks with a minor correction between them, indicating more downsides for the cryptocurrency in June. If the price breaks below the neckline support, it could lead to a decline equal to the pattern's maximum height, potentially targeting $3,400 in June. Conversely, a decisive bounce from the neckline support could invalidate the double top pattern, with ETH's price eyeing its early May resistance at around $3,850 as the next upside target.