Ethereum price ‘double top’ hints at 42% drop as ETH bull market ends

On March 4, Ethereum’s native token, Ether (ETH), dropped to a brand new yearly low of $1,996, marking the altcoin’s lowest worth since November 2023. In that 24-hour interval, roughly $100 million in Ethereum positions had been liquidated, with ETH futures open curiosity (OI) declining 10.31% throughout all exchanges.

Is Ether price at a generational entry or misplaced trigger?

The second largest cryptocurrency is drawing combined opinions from the crypto business. Ethereum’s Pectra improve was deployed on the Sepolia testnet on March 5, and Gabriel Halm, a analysis analyst at IntoTheBlock, believed it may doubtlessly ease ETH’s latest promoting strain. Earlier this week, Halm mentioned,

“While Ethereum’s upcoming Pectra upgrade won’t necessarily trigger an instant price bump, it marks a significant step forward in the ongoing improvements to the Ethereum ecosystem.”

Likewise, Louie, a crypto analyst, drew a similarity between Ethereum’s present bearish predicament and Bitcoin in 2023. The analyst implied that each property show comparable price buildings, market sentiment and catalysts, which can finally enable ETH to “rhyme” BTC’s bullish breakout from 2023.

On the opposite, Matthew Hyland, a market analyst, mentioned that Ethereum is probably already in a bear market. With Ethereum objectively in a 357-day downtrend, Hyland believed no correlation existed between BTC and ETH within the present market. The analyst mentioned,

“Up until a year ago everything was in a bull together and a bear together, now its mixed.”

Additionally, the analyst talked about that ETH’s price backside will doubtlessly define the start of the following cycle.

Meanwhile, the confirmed double high sample on the weekly and month-to-month charts will increase the chance of a deeper correction for the altcoin.

Nebraskangooner, a crypto commentator, informed his 379,900 followers that based mostly on the sample, the measured breakdown goal is round $1,200, one other 42% under ETH’s present price.

Related: Why is the crypto market down at present?

Only 26% of Ethereum addresses are worthwhile

Between Dec. 1, 2024, and March 4, 2025, Ethereum price declined 50% in simply 78 days. While such drastic corrections are widespread with low-cap crypto property, ETH has misplaced greater than $250 billion in market cap throughout that interval.

This sharp, bearish turnaround has undoubtedly affected traders as effectively, with knowledge from IntoTheBlock suggesting that solely 26% of all addresses holding 36.92 million ETH are in revenue. A staggering 70% of addresses are “out of the money,” with solely 4.46% of addresses at breakeven worth.

From a technical perspective as effectively, Ethereum’s weekly shut has taken place beneath a 980-day uptrend, relationship again to earlier cycle lows in June 2022. A break under the ascending trendline signifies a long-term development reversal, which is likely to be a warning signal for the bulls.

However, the altcoin recovered sharply over the previous 24 hours, leaping 12% from latest lows at $1,996 to upward of $2,242.

The relative power index (RSI) has additionally dropped to multi-year lows, which additional confirms the bearish nature of Ethereum’s long-term market construction. Yet, it may doubtlessly indicate weak spot in promoting strain as effectively within the short-term, resulting in aid rallies.

Related: Bitcoin sags towards $80K as US greenback power bounces off 12-week low

This article doesn’t include funding recommendation or suggestions. Every funding and buying and selling transfer entails threat, and readers ought to conduct their very own analysis when making a choice.