Ethereum (ETH) has continued to fall like the rest of the crypto market, dropping over 9% in the daily time frame and hitting new lows. With the cryptocurrency losing a do-or-die level, some analysts have expressed concerns about ETH’s near-term future.
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Ethereum Correction Targets $1,500
On Thursday, Ethereum, the second-largest cryptocurrency by market capitalization, hit an eight-month low of $1,934 after falling below the psychological $2,000 mark for the first time since May.
The cryptocurrency has traded between $2,100 and $4,400 for the past two years, moving between the upper and lower limits of its macro range throughout the cycle, only losing its crucial support during the market correction in the first and second quarters of 2025.
Over the past five months, the price of ETH has fallen more than 60% from its all-time high in August (ATH) of $4,956, raising concerns about the cryptocurrency’s short- and medium-term performance.
In an X-post, market observer Daan says Crypto Trades declared that the “overall price action this cycle has been terrible, but levels have been very clean” on Ethereum’s chart. “These horizontal areas, in my opinion, are all you need to pay attention to for the Ethereum price,” he wrote. “Break one, target the next. Works both ways, of course.”
Based on this, the trader highlighted the lower half of the altcoin’s macro range, where it has been trading for half of the cycle. If Ethereum is unable to regain $2,000-$2,100 soon, the price will likely retest the $1,800 area.
“That is the breakout level before the big rally, mainly driven by Tom Lee/Bitmine,” he pointed out. The same goes for Altcoin Sherpa suggested that Ethereum is in a similar “do-or-die region” as Bitcoin (BTC).
For the analyst, ETH’s chart “looks bleak” after losing the 200-Week Exponential Moving Average (EMA). He adds that if the altcoin officially loses the $2,000 mark, the altcoin will likely fall to an April 2025 low of around $1,400-$1,500.
ETH crash drags investors down with it
In particular, liquidations of Ethereum, funds and large-scale investors have taken a hit amid the recent price action. According to online reportsthe unrealized losses of BitMine, the world’s second largest crypto treasury, have grown significantly in recent days.
As reported by NewsBTC, the crypto treasury firm’s unrealized losses had risen to $6.6 billion on Monday, putting the Ethereum treasury firm “on track to become the fifth largest documented major trading loss in history if sold.”
In BitMine’s latest update, company chairman Tom Lee reiterated BitMine’s confidence in the cryptocurrency and its fundamentals despite the recent price action and broader market correction.
“We view this pullback as attractive given the strengthening fundamentals. In our view, ETH’s price does not reflect the great utility of ETH and its role as the future of finance,” Lee said. Nevertheless, Ethereum’s drop below $2,000 has pushed BitMine’s unrealized losses above $8 billion.
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Spot ETH exchange-traded funds (ETFs) also performed negatively last day, with the category losing nearly $80 million on Wednesday and total net outflows of $68 million during the first three trading days of the week.
Meanwhile, Ethereum liquidations have reached $326.6 million in the past 24 hours. according to to CoinGlass data. The data shows that approximately $245.5 million came from long ETH positions, with almost half of the total value wiped out in the last four hours.
Featured image from Unsplash.com, chart from TradingView.com