Ethereum Faces Critical Juncture as Price Nears $1,000 Amid Bearish Signals

Ethereum (ETH) is teetering on the edge of a major psychological support level at $1,000 after a staggering 65% price collapse over the past three months. The decline, reminiscent of previous bear cycles in 2018 and 2022, has pushed technical indicators into panic territory. With market sentiment divided between hopes for a rebound and fears of extended capitulation, analysts are closely watching whether ETH can hold this crucial level. The downturn follows Ethereum’s December 2024 peak at $4,095, which was accompanied by concerning bearish divergence signals.

ETH Collapse Ahead? Technical and On-Chain Signs Intensify

Ethereum has seen its price collapse by more than 65% in three months, bringing it close to the psychologically significant level of $1,000. This decline echoes the drops seen in 2018 and 2022, with indicators sliding into panic zones. Speculators and investors are torn between hope for a rebound and fear of prolonged capitulation. The drop follows a peak reached in December 2024 at $4,095, marked by a bearish divergence of the Relative Strength Index (RSI).

Ethereum Sell-Off: WLF Dumps ETH at 55% Loss, Whales Exit Amid Market Crash

World Liberty Financial has reportedly sold a significant amount of Ethereum at nearly 55% loss. The wallet linked to the Trump-affiliated group’s unrealised loss now stands at around $125 million, raising speculations over its move across the market. Notably, as per data from Arkham Intelligence, the wallet moved over 5,471 ETH for approximately $8 million. The sale took place at an average price of $1,465, which is far below its original purchase price. WLFI had previously bought 67,498 ETH for about $210 million, at an average price around $3,259 per ETH.

Ethereum Forecast: Recovery Shows, But $2,000 Unlikely; Retail Traders Favor AI Token

Ethereum (ETH) predictions turn positive as short-term trading charts indicate recovery, with ETH approaching $1,500 levels. However, experts believe that the $2,000 mark remains unattainable for ETH in the NEAR term. Meanwhile, retail traders are flocking to IntelMarkets, an AI platform that has become the preferred choice for whales due to its cutting-edge scalability. This shift in investor preference highlights the growing interest in AI-driven tokens amidst the broader market decline.

Trump-Linked Wallet Sells $8M in Ethereum at a Loss

A wallet possibly linked to World Liberty Financial, a DeFi initiative endorsed by the Trump family, has sold 5,471 ETH for approximately $8 million at $1,465 per coin, according to Lookonchain data. This represents a significant loss due to Ethereum’s price drop. World Liberty Financial’s ETH investment has suffered an unrealized loss exceeding $125 million, down from an average acquisition price of $3,259 per coin. Trump’s crypto portfolio has also declined dramatically, from over $15 million in July to $1.1 million.