 faces strong resistance at $2,400, with 2.41M investors holding 62.68M ETH at this level. Breaking past it could trigger a rally to $3,000.){kind=link}
Ethereum (ETH) is currently facing a crucial resistance level at $2,400, with crypto analyst Ali Martinez highlighting it as a key barrier to a potential rally.
According to Martinez, 2.41 million investors collectively hold over 62.68 million ETH at this level, making it a significant price point for market sentiment.
Should Ethereum break past this resistance, the path to $3,000 could become more viable.
However, ETH has struggled in recent days, briefly crossing $2,500 following Donald Trump’s announcement of strategic crypto reserves before experiencing a sharp downturn.
Ethereum Price Continues to Slide Amid Heavy Market Sell-Off
Over the past week, Ethereum has experienced a substantial price decline, losing 15.62% of its value, with a steep 14.22% drop in just the last 24 hours.
Currently trading at $2,099.70, ETH has witnessed significant volatility, reflecting broader market uncertainty. With a circulating supply of 120 million ETH, Ethereum’s total market capitalization has dropped to approximately $253.5 billion.
Since the beginning of 2025, ETH has already seen a staggering 36% decline, making this potentially its worst-performing first quarter in history.
The sustained downward trend has left investors wary, as Ethereum continues to face headwinds despite its long-term bullish potential.
Institutional Outflows Add Pressure on Ethereum’s Price
One of the major contributors to Ethereum’s recent price struggles has been the significant outflows from U.S.-based Ethereum exchange-traded funds (ETFs).
Over the past eight trading sessions, these ETFs have seen substantial investor withdrawals, leading to increased selling pressure on ETH.
The most notable outflows have come from BlackRock’s iShares Ethereum Trust (ETHA), which has recorded over $164 million in outflows since February 24.
The large-scale capital flight suggests a shift in investor sentiment, with institutions possibly reallocating funds to other assets amid ongoing market uncertainties.
Also Read: Analysts Identify $2,300 as Key Support Level for Ethereum After the ByBit Hack Debacle
Market Outlook: Can Ethereum Overcome Its Resistance?
For Ethereum to regain its bullish momentum, it must overcome the key resistance level at $2,400.
If ETH successfully breaks through this barrier, analysts suggest it could rally toward $3,000.
However, with the recent dip to $2,000, Ethereum faces a crucial test in the coming days.
Despite the 12.7% price drop, some analysts view this as a buying opportunity. Market analyst IncomeSharks highlighted the sharp decline, stating that the sell-off created “too big of a red candle not to buy.”
While maintaining a cautious stance, the trader acknowledged purchasing a small amount of ETH during the dip, signaling confidence in its long-term potential.
However, Ethereum’s short-term outlook remains uncertain due to recent market sell-offs, increasing institutional outflows, and broader macroeconomic concerns.
These factors continue to weigh on investor sentiment, making it difficult to predict ETH’s next move with certainty.
Traders will closely watch upcoming market developments, including shifts in investor sentiment and regulatory updates, which could influence Ethereum’s price trajectory.
Until then, ETH remains in a critical range, with $2,400 acting as the key level that will determine its next major move.