Ethereum Price Forecast: Bearish Symmetrical Triangle Breakdown Eyes $2,100 Floor
Ethereum (ETH/USD) is facing a major technical breakdown on the daily chart, now trading around $2,327 after dropping sharply...
Quick overview
- Ethereum is experiencing a significant technical breakdown, currently trading around $2,327 after a sharp decline from a consolidation phase.
- Vitalik Buterin's recent sale of 493 ETH and withdrawal of 16,384 ETH has contributed to bearish sentiment in the market.
- Trend Research has intensified selling pressure by liquidating over 118,589 ETH, resulting in reported losses of $562 million.
- Technical indicators suggest Ethereum is oversold, but any potential rally may face resistance at $2,805 and $3,000.
Ethereum (ETH/USD) is facing a major technical breakdown on the daily chart, now trading around $2,327 after dropping sharply from a long period of consolidation. The price fell out of a large symmetrical triangle pattern and broke through key demand zones, showing that momentum has shifted to the bears.
Whale Movements Spark Market Concern
Ethereum co-founder Vitalik Buterin drew market attention by selling 493 ETH worth $1.16 million. Lookonchain reported this transaction on February 3, 2026. Buterin has a history of using his holdings for grants and ecosystem development.
Buterin also confirmed he withdrew 16,384 ETH to support open-source security and privacy projects, planning to use the funds over several years to avoid sudden market effects. Although these transfers are small compared to the whole market, their timing during a downturn added to short-term bearish sentiment.
Trend Research Intensifies Liquidations
Trend Research, a major institutional player, increased selling pressure by depositing 30,000 ETH (about $70.18 million) on Binance on February 1 to pay back leveraged positions. Since early February, the firm has deposited more than 118,589 ETH to different exchanges.
Key points about Trend Research’s ETH liquidation:
- Reported Losses: The firm’s total loss on its ETH lending positions has reportedly reached $562 million.
- Current Exposure: Trend Research still holds approximately 618,000 ETH (valued at $1.43 billion), down from its peak of over 661,000 ETH.
- Liquidation Range: Proactive debt reduction has narrowed their latest liquidation range to $1,685.63 – $1,855.16.
- Leverage Strategy: The firm recently withdrew 109.1 million USDT to repay on-chain loans, reducing its leverage ratio from 2.4x to 2.2x.
Ethereum Market Analysis: Heightened Volatility and Derivative Pressure
Ethereum’s price is highly sensitive to large trades and leveraged selling. After a short rebound, ETH dropped sharply this week, hovering near $2,400 after a 10% loss in one day. DBS Bank stood out as a contrarian buyer, picking up 24,898 ETH when prices fell below $2,200.
The ETH/BTC pair failed to maintain the 0.032 level, confirming broader bearish momentum. Furthermore, total futures open interest and high-leverage liquidations—including a $250 million loss for a single whale on Hyperliquid—underscore the current derivative selling pressure.
Ethereum (ETH/USD) Technical Analysis: The Breakdown of Point D
- Triangle Violation: The pair recently breached the lower boundary of the symmetrical triangle (near $2,805), a level that had acted as a reliable support floor throughout late 2025.
- Moving Averages: ETH is now trading well below both the 200-SMA and 50-EMA. Analysts say Ethereum needs to get back above the 200-week moving average at $2,451 to return to a bullish trend.
- Candlestick Analysis: Daily charts show strong selling pressure and rising volume, which suggests the current trend is likely to continue instead of reversing.
- RSI Momentum: The Relative Strength Index (RSI) has fallen to 29, showing the market is oversold. This could cause a short-lived bounce, but the overall trend is still weak.
Key Price Levels
- Resistance Ceiling: Any relief rally will face significant headwinds at the $2,805 breakdown point and the psychological $3,000 mark.
- Support Floors: Bears are now targeting the $2,161 support level. If ETH falls below $2,200, it could quickly drop toward the $1,800 area.
Trade Idea: Consider a short position if ETH rallies toward $2,500, aiming for a retest of the $2,161 support and setting a stop-loss above $2,810.
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