Ethereum (ETH) Price Drop

Ethereum (ETH) has shed 25% this week, collapsing from a high of $2,930. The brutal sell-off has pushed ETH price to revisit the $2,000 psychological level.

Reasons for Downtrend

This downtrend is largely attributed to Bitcoin’s (BTC) nosedive, falling below $80,000 for the first time since November 2024. The bearish sentiment surrounding Ethereum has intensified due to the formation of the Death Cross, a well-known sell signal in technical analysis.

Investor Impact

Moreover, investors who bought ETH a year ago are experiencing considerable losses. This is highlighted by the MVRV indicator, which has dipped to levels seen in 2022.