Ethereum (ETH/USD) Plunges to 1-Year Low, Erasing 65% of Its Value

Ethereum (ETH/USD) has plunged to approximately $1460, shedding 7% in just 24 hours and compounding a brutal three-month slide that has erased 65% of its value.

Ethereum (ETH) price tumbled to around $1,460 on Thursday, sliding 7% in the past 24 hours and continuing a three-month rout that has seen it lose 65% of its value.

The drop also took ETH below its 2018 market cycle peak, rolling back seven years of growth when comparing it to Bitcoin (BTC).

The ETH/BTC pair is now trading at 0.018, reaching its lowest point since December 2019. While often touted as the ‘second-largest cryptocurrency,’ ETH has only outperformed Bitcoin for about 15% of trading days since its 2015 launch. For five straight years, Bitcoin has led the performance race.

Chart: TradingView

Amid the market downturn, blockchain data reveals significant whale movements. One long-term Ethereum holder, who had been accumulating 10,000 ETH since late 2022 with an average entry price of $1,295, recently sold their entire stake.

The sale realized a small profit at $1,678 per ETH. However, the whale missed the opportunity to sell when ETH soared to $4,000 in December, foregoing a potential gain of $27.6 million.

Meanwhile, World Liberty Financial (WLF), a Donald Trump-affiliated crypto startup, reportedly offloaded 5,471 ETH for $8.01 million at a loss. The firm had purchased the tokens at an average price of $3,259.

The massive institutional sell-off comes as On-Chain metrics on Ethereum enter ‘capitulation’ zones.

Ethereum NUPL Enters Capitulation Zone Again- A Buying Opportunity?

The Net Unrealized Profit/Loss (NUPL) indicator has dipped into the “capitulation” zone, where most holders are now sitting on losses. Historically, this zone has preceded major market rebounds, notably in March 2020 and June 2022.

ETH has also dropped below its “Realized Price,” which is the average acquisition cost of all coins in circulation, often indicating panic selling but also an accumulation opportunity for savvy investors.

Technical Analysis: Bearish Divergence Pattern Spotted

Current ETH price action mirrors patterns seen during the 2018 and 2022 bear markets. Analysts at CryptoTotal identified a bearish divergence pattern—higher price highs but lower RSI highs—suggesting deteriorating momentum.

The RSI is still above oversold levels, which may indicate further downside potential for ETH in the short term.

Fibonacci retracement zones and historical support levels place the potential bottom at the $990 to $1,240 range, aligning with the 0.618 to 0.786 retracement levels—often considered “golden” zones for reversals.

Macro Factors Fuel Further Sharp Correction

The sharp correction in Ethereum comes amid broader market weakness, partially attributed to the Trump administration’s recently enacted global tariffs.

Despite the bearish sentiment, some technical indicators suggest Ethereum is nearing oversold levels—potentially setting the stage for a base to form. However, the timing and strength of any rebound remain uncertain.