Will Ethereum Price Hold $1,900 Level After Five Weeks of $563M ETF Selling?

Coingapestaff
Coingapestaff

Coingapestaff

Journalist
CoinGape comprises an experienced team of native content writers and editors working round the clock to cover news globally and present news as a fact rather than an opinion. CoinGape writers and reporters contributed to this article.
Read full bio
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Will Ethereum Price Hold $1,900 Level After Five Weeks of $563M ETF Selling?

Highlights

  • Sustained ETF selling increases downside risks for the Ethereum price.
  • There is macroeconomic inflation pressure on the crypto market sentiment.
  • Support of $1,900 is essential to prevent the quickening of the bearish continuation.

Ethereum price fell 5% in the past 24 hours, trading near $1,954 as selling pressure intensified. 

The broader crypto market dropped 2.67%, pushing total capitalization down to $2.28 trillion. The markets responded negatively to an above-anticipated U.S. inflation report this week.

January’s Producer Price Index climbed sharply, raising concerns about sticky inflation and prolonged high interest rates. The data placed renewed pressure on the risk-sensitive assets, such as cryptocurrencies.

Ether has also experienced ETF outflows, with the index at 16. The investor sentiment is in the area of Extreme Fear. Continued deleveraging of the derivative markets contributed to the decline.

Ethereum ETFs Offload $1.13B in Five Weeks: What Next For ETH?

Ethereum is experiencing sustained selling pressure as large holders continue reducing exposure across major trading venues. Over the past five weeks, exchange-traded funds using Ether have sold nearly 563,600 units of ETH, which corresponds to withdrawals of about $1.13 billion.

On-chain records further show that Vitalik Buterin sold about 17000 ETH in the past month, and that is equivalent to around 34 million at the current market price. The aggregate supply of institutional products and the high-profile wallets has had a toll on the entire market sentiment.

Consequently, Ether has plummeted almost 49% over a month, falling between approximately $3,400 in mid January to about $1,800. Analysts are warning that further outflows may prolong the fall, but a few traders are closely monitoring a possible turnaround.

Bitcoin and Ethereum ETFs Extend Inflow Streak Despite Market Sell-Off

On February 26, spot Bitcoin exchange-traded funds posted $254 million in net inflows, marking a third consecutive day of positive capital movement.

According to SoSoValue data, investments by investors were still active, and major Bitcoin funds are still attracting regular investments.

The continued inflows are attributable to the fact that Bitcoin is trading around recent highs despite the overall market corrections.

Spot Ethereum exchange-traded funds registered net inflows of $6.5742 million during the same trading session, marking their third consecutive day streak.

Although Ethereum numbers were lower compared, the accumulation process proceeds, indicating better investor trust in the asset.

Ethereum Price Prediction: Will Ether Hold Above $1,900?

As of the reporting, the ETH price crashed to $1,950 during Friday’s volatile trading session. Ethereum failed to gain viable support above the critical $2,000 resistance point.

Will Ethereum Price Hold $1,900 Level After Five Weeks of $563M ETF Selling?Will Ethereum Price Hold $1,900 Level After Five Weeks of $563M ETF Selling?
Source: ETH/USDT 4-hour chart: Tradingview

The Relative Strength Index is also in the neutral area, indicating that the bullish momentum within the market is waning.  In the meantime, the MACD indicator has recorded a new bearish crossover, which supports the short-term, negative perspectives.

On the upside, a decisive close above $2,000 may trigger a rebound toward the $2,200 region. However, only a sustained breakout above $2,300 would validate a broader trend reversal scenario as per the full Ethereum forecast report.

Immediate support lies at approximately $1,900 and is now acting as a major defensive point to the buyers. A failure at a confirmed level of less than $1,900 may hasten the losses to the $1800-level. There is better structural support observed around the $1,700 level, which was a past demand area that offered stability earlier in the month.

AD
BC Game

Play 10,000+ Casino Games at BC Game with Ease

  • Instant Deposits And Withdrawals
  • Crypto Casino And Sports Betting
  • Exclusive Bonuses And Rewards
BC Game

Frequently Asked Questions (FAQs)

1. Why is Ethereum price under pressure?

Ethereum is facing selling pressure due to ETF outflows, macroeconomic inflation concerns, and weakening technical indicators.

2. What impact did U.S. inflation data have on Ethereum?

Stronger-than-expected inflation data increased fears of prolonged high interest rates, pressuring risk assets like cryptocurrencies.
coingape google news

Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

ETH

Ethereum

$1,923.3797 -3.11%

24 Hours volume

$14.82B

Market Cap

$231.63B

Max Supply

NA

Buy $ETH with MEXC
About Author
About Author
CoinGape comprises an experienced team of native content writers and editors working round the clock to cover news globally and present news as a fact rather than an opinion. CoinGape writers and reporters contributed to this article.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.