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 were liquidated, with ETH futures open curiosity (OI) declining 10.31% throughout all exchanges.

Markets, Price Analysis, Market Analysis, Ethereum Price, Ethereum ETF — *Ethereum 1-day chart. Supply: Cointelegraph/TradingView*

Is Ether value at a generational entry or misplaced trigger?

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

“Whereas Ethereum’s upcoming Pectra improve gained’t essentially set off an on the spot value bump, it marks a big step ahead within the ongoing enhancements 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 belongings show related value constructions, market sentiment and catalysts, which can finally permit ETH to “rhyme” BTC’s bullish breakout from 2023.

Quite the opposite, Matthew Hyland, a market analyst, mentioned that Ethereum is presumably 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 till a yr in the past every thing was in a bull collectively and a bear collectively, now its combined.”

Moreover, the analyst talked about that ETH’s value backside will probably define the start of the following cycle.

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

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

Solely 26% of Ethereum addresses are worthwhile

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

This sharp, bearish turnaround has undoubtedly affected traders as properly, 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 cash,” with solely 4.46% of addresses at breakeven worth.

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

Nevertheless, 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. But, it might probably indicate weak spot in promoting stress as properly within the short-term, resulting in reduction rallies.

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