Here’s where they say the ATM will go down after losing $3k.
Ether (ETH) has recovered 42% from its high of $4,950, with traders wondering where the altcoin will go down next.
Main Receptors:
Ether traders will see the price of ETH drop to $2,100 if the support at $2,800 fails.
A steady flow of Ether ETFs and minimal Treasury buying introduces additional risks for bulls.
Analysis: 25% ETH price drop possible.
Data from Cointelegraph Markets Pro and TradingView show that the ETH/USD pair has dropped back below $3,000.
Commenting on the recent price action, analyst and trader Daan CryptoTrades said that although this cycle was not what ETH investors expected, Ether's “market structure and the Ethereum ecosystem matured during this period.”
“I can't defend this cyclical price action, $BTC has underperformed and many others.”
The accompanying chart suggests that if ETH loses the $2,800 support, it could drop to the next major support level around $2,100.
According to Glassnode data, the next important support below $2,800 is located around $2,100, where approximately 2.1 million ETH were bought.
Related: Ethereum gas limit may rise to 80M in January
Although Polymarket speculators see only an 11% chance of a drop to $2,000-$2,200 before the end of 2025, Ether price has an 83% chance of seeing $2,500 again and a 59% chance of a drop to $2,000 in 2026.
Ether's low for 2025 is $1,380, reached in April, and the ETH/USD pair last traded at $2,100 on May 9. The current 42% decline from all-time highs, however, is relatively shallow. Previous bear cycles have bottomed out after price declines around 80%-90%.
Investors are de-risking Ethereum ETFs
Institutional interest in US-based spot ether exchange-traded funds (ETFs) has declined, according to data from Farside Investors.
These investment products have driven five consecutive days of outflows totaling $533.1 million and assets under management to $17.34 billion.
“US-based Ethereum ETFs continue to see capital inflows,” CryptoQuant analyst IT Tech said in a post on X.
Investors are either losing risk or quietly moving away from ETH, suggesting that there is no immediate return for Ether.
Additional data from Capriole Investments shows that daily purchases of ether treasury companies have decreased from a peak of 78,010 ETH on August 23 to 12,095 ETH.
Although BitMine is accelerating its Ether purchases, several onchain and technical indicators around ETH have turned bearish, pointing to more pain ahead.
This article does not contain investment advice or recommendations. Every investment and business activity involves risk, and readers should do their own research when making a decision. While we strive to provide accurate and up-to-date information, Cointelegraph does not guarantee the accuracy, completeness or reliability of any information in this article. This article may contain forward-looking statements that are subject to risks and uncertainties. Cointelegraph shall not be liable for any loss or damage arising from reliance on this information.
This article does not contain investment advice or recommendations. Every investment and business activity involves risk, and readers should do their own research when making a decision. While we strive to provide accurate and up-to-date information, Cointelegraph does not guarantee the accuracy, completeness or reliability of any information in this article. This article may contain forward-looking statements that are subject to risks and uncertainties. Cointelegraph shall not be liable for any loss or damage arising from reliance on this information.
