Ethereum value fashioned a bearish engulfing candle on Monday and dropped over 6% amidst a market-wide crash led by Bitcoin.
Abstract
- Ethereum value fell over 6% on Monday amid a broader crypto market blood bathtub.
- A number of bearish patterns appear to counsel extra potential draw back over the approaching weeks.
- Ethereum ETFs have hit a 5-week outflow streak.
In accordance with information from crypto.information, Ethereum ($ETH) value fell 6.3% to $1,855 on Monday throughout early Asian hours earlier than stabilizing at $1,874 at press time. Ethereum value tanked amid a broader market crash as contemporary U.S. tariff threats on all buying and selling companions and potential navy escalation within the U.S. and Iran battle harm investor urge for food for crypto belongings.
Notably, Bitcoin ($BTC), the bellwether of the market, has dropped beneath the $65,000 psychological assist stage, wiping out hundreds of thousands of leveraged lengthy positions with the shock extending to different main crypto belongings similar to Ethereum. CoinGlass information present that almost $108 million price of $ETH lengthy positions had been liquidated prior to now 24 hours.
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On the each day chart, Ethereum value has fashioned a bearish engulfing candle amid its drop at this time. The biggest altcoin out there has thus far fallen roughly 45% from its yearly excessive and 62% from its all-time excessive of $4,946 reached in August 2025.
$ETH’s value motion has fashioned a bearish pennant sample characterised by a flag-like pole and a triangle formation on the backside. A breakout from such patterns has traditionally been adopted by huge draw back dangers.
Ethereum value has fashioned a bearish pennant sample on the each day chart — Feb. 23 | Supply: crypto.information
On the similar time, zooming out the chart additionally reveals the formation of a multi-month descending parallel channel, one other bearish sample in technical evaluation.
Primarily based on these technical indicators, Ethereum might drop to $1,450 if it had been to respect the decrease boundary of the descending channel sample. This could imply lack of the $1,500 stage, which is a crucial psychological assist.
A breach of the $1,500 psychological flooring would signify a major structural breakdown, possible triggering a cascade of stop-losses. Given the present macro-driven volatility, it might lead to a speedy capitulation part within the coming periods as liquidity dries up at decrease ranges.
$ETH buyers have turned bearish
The bearish prediction for Ethereum might achieve additional traction from the lackluster demand for its exchange-traded merchandise over current weeks. Information from SoSoValue reveals that the nine-spot Ethereum ETFs have recorded back-to-back outflows for the fifth consecutive week, totalling round $1.38 billion.
In the meantime, the weighted funding price, which measures the price of holding brief positions, has fallen deeply into the pink territory, suggesting that Ethereum bears are more and more betting on additional value declines whereas paying a premium to lengthy holders.
Ethereum’s weighted funding price has turned very adverse — Supply | CoinGlass
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