Ethereum (ETH) Price Flashes Death Cross After 25% Crash as MVRV Hits 2022 Levels

Highlights
- Ethereum price has crashed 25% this week, revisiting the $2,000 psychological level, amid Bitcoin's selling spree.
- The formation of the Death Cross and the MVRV indicator hitting 2022 levels emphasize the bearish sentiment and huge losses for Ethereum investors.
- Ethereum whales have accumulated roughly 120K Ether worth $240M since February 21, as retail investors panic sell during the market downturn.
Ethereum (ETH) has shed 25% this week as it collapsed from a high of $2,930. The brutal sell-off has pushed ETH price to revisit the $2,000 psychological level. This downtrend is due to Bitcoin’s (BTC) nosedive that has pushed it below $80,000 for the first time since November 2024. The bearish sentiment and fears of a bear market are emphasized even more for Ethereum price due to the formation of Death Cross, a well-known sell signal. Additionally, investors who bought ETH a year ago are also facing huge losses, as noted by the MVRV indicator, which has dipped to 2022 levels.
Let’s explore what this means for Ethereum price.
ETH Price Collapses to $2,000 Amid Bitcoin’s Selling Spree
Since February 21, Bitcoin has shed 20.55%, and Ethereum has crashed 25%. As a result, the 50-day Moving Average (MA) has slid below the 200-day MA, forming the Death Cross. This sell signal shows that the short-term momentum is collapsing faster than the slow MA, suggesting a shift in outlook favoring bears.
The 25% crash over the week has pushed ETH price to sweep equal lows at $2,100, set up on January 1 and August 5, 2024, respectively. Since the $2,000 psychological level is just below where price currently trades, a potential recovery for Ethereum here wouldn’t be unlikely, especially if the market cools off.
However, Bitcoin’s sell-off needs to stop for ETH to bounce off the $2,000 psychological level.
ETH Holders Underwater as MVRV Hits 2022 Leves
Santiment’s 365-day MVRV reads -32%, which shows the average profit/loss of investors who purchased ETH a year ago is at -32%. This level was seen at the depths of the 2022 bear market, showing that this ETH price crash has surprised many investors.
ETH Whales Buy As Retail Investors Panic Sell
During times of intense market sell-off, retail investors tend to panic sell or fail to buy the dip. On the contrary, whales or institutional investors tend to be buyers during these times. Wallets holding 1,000 to 10,000 ETH accumulated roughly 120K Ether worth $240M since February 21, further highlighting this narrative.
What’s Next for ETH price?
ETH price has had a bad reputation due to its lackluster performance in 2024, and to add to its woes, the power struggle happening at the Ethereum Foundation involving Vitalik Buterin and Aya Miyaguci. From a technical perspective, Ethereum recovery is unlikely until the crypto market cools off. Even if Bitcoin stops crashing, Ethereum price is unlikely to bounce back compared to some altcoins like Sonic (previously Fantom) due to the aforementioned events taking place at the Foundation.
For now, the key support level to watch if $2,000 gives in is $1,632. This barrier is where the most volume was traded between June 2022 and November 2023.
On the other hand, if $2,000 holds, then the next key level is $3,000. In addition to being at the psychological level, this level is where the Death Cross appears, a confluence of the 50-day and 100-day MA. Hence, $3,000 will be a tough resistance level to overcome.
Frequently Asked Questions (FAQs)
1. What is the significance of the Death Cross formation in Ethereum's price movement?
2. How have Ethereum investors been affected by the recent price crash?
3. What is the next key support level to watch if Ethereum price falls below $2,000?
- BlackRock’s Bitcoin ETF Leads ETFs With $3.5B Weekly Inflows as It Eyes $100B in AUM
- MetaMask Launches Hyperliquid Perpetuals In-App, Plans To Integrate Polymarket
- XRP Treasury Holdings Hits $11.5B as Nasdaq-Listed Reliance Global Adds $17M in Fresh Buy
- FOMC Minutes, Jerome Powell Speech: Will Bitcoin Recover or Retrace Further?
- “Meme Coin SZN Is Here,” Says CZ As GIGGLE, 4 Price Skyrocket to All time Highs
- XRP Price Prediction Amid ETF Approval Roadblock as Analyst Warns of $2.72 Dip
- Binance Coin Price Prediction If It Surpasses Bitcoin Marketcap— Is $3000 Possible in 2025?
- ASTER vs HYPE Price Analysis – Which Perp DEX Token Looks Poised to Dominate Q4 Performance?
- Ethereum Price Could Soar to $6,500 as BlackRock’s ETF Nears $20B Milestone
- Cardano Price Consolidates Below Key Resistance Ahead of ETF Verdict — Is a 50% Rally in Sight?
- Solana Price Eyes 56% Rebound Amid Solana Company’s Massive $530M SOL Acquisition