Ethereum Plunges Below $2,000 as Whale Accumulation Battles Mid-Tier Capitulation
Ethereum has passed the important $2,000 psychological barrier, now trading around $1,900 after an 8.8% decrease in the past 24 hours.
Quick overview
- Ethereum has dropped below the $2,000 mark, currently trading around $1,900 after an 8.8% decline in the last 24 hours.
- Mid-sized holders are capitulating, reducing their positions significantly, while large holders are accumulating more ETH, indicating a divergence in market sentiment.
- Ethereum is trading below the realized price for all investor cohorts, which historically signals potential capitulation selling.
- Technical analysis suggests further downside risk, with a target support zone around $1,680-$1,720 before any potential recovery.
Ethereum ETH/USD has passed the important $2,000 psychological barrier, now trading around $1,900 after an 8.8% decrease in the past 24 hours. The second-largest cryptocurrency has dropped more than 60% from its all-time high of $4,950, reaching a year-to-date low of $1,744 on Thursday as widespread selling pressure strains investor conviction across all cohorts.
Mid-Sized Holders Capitulate While Whales Accumulate
Onchain data demonstrates a substantial discrepancy in holder behavior that emphasizes the severity of Ethereum’s present decline. Analysis from CryptoQuant shows that mid-sized wallet holders have entered a capitulation phase, with addresses holding 100-1,000 ETH lowering their positions from 9.79 million ETH in August 2025 to just 8.32 million ETH this week. Similarly, the 1,000-10,000 ETH cohort lost ownership from 14.51 million to 12.26 million ETH within the same period.
Conversely, large holders have absorbed this selling pressure with surprising constancy. The largest holders (100,000+ ETH) boosted their balances from 2.75 million to 3.68 million ETH during the previous quarter, while wallets with 10,000–100,000 ETH improved their positions from 17.18 million to 19.77 million ETH. This whale accumulation pattern implies institutional players see present prices as attractive entry locations, albeit it has proven inadequate to prevent the larger market fall.
Trading Below Realized Price Across All Cohorts
The fact that Ethereum currently trades below the realized price for each investor cohort may be the most worrisome aspect of the cryptocurrency’s near-term prospects. Realized prices—reflecting the average cost basis at which each group last traded their tokens—range from $2,120 for the largest holders to $2,690 for smaller holders. With ETH momentarily falling below the aggregate realized price of $2,630 on Saturday, the market has reached territory historically associated with stress-driven capitulation selling.
Ethereum Exchange Inflows Signal Intensifying Sell Pressure
Exchange data offers an equally bleak picture. Binance received around 1.63 million ETH in inflows on Wednesday, marking the biggest daily reading since 2022. These elevated inflows often imply preparedness for selling or portfolio rebalancing and are particularly worrisome when occurring alongside negative price activity.
Market execution metrics confirm this gloomy mood. At 0.94, Ethereum’s Binance taker buy/sell ratio is currently below the neutral threshold of 1.0. Both 30-day and 50-day averages remain subdued, showing ongoing selling dominance rather than transient profit-taking. Crypto researcher PelinayPA warns this could represent the beginning of a “true bear season” for Ethereum, with unfavorable conditions likely to remain.
ETH/USD Technical Analysis Points to Further Downside Risk
From a technical perspective, Ethereum has broken below the 100-hourly Simple Moving Average and established a strong negative trend line with resistance at $2,200. The recent rally from $1,744 confronts immediate resistance at $1,950, with the important $2,050 level being the 50% Fibonacci retracement of the previous downturn.
The hourly MACD continues gaining speed in bearish territory, while the RSI languishes below 50, indicating downside pressure. Initial support is at $1,850, and significant support is at $1,800 if bulls are unable to recover $2,050.
Ethereum Price Prediction: $1,680 Target Before Recovery
A fall below $1,800 will likely drive losses below $1,750 and subsequently $1,720, with the primary support zone indicated at $1,680. Only a decisive break over the $2,200 resistance and negative trend line would invalidate the present decline, potentially opening the way toward $2,350 and $2,550.
Given the convergence of negative factors—mass mid-tier capitulation, elevated exchange inflows, bearish technical structure, and trading below all realized price levels—Ethereum is prepared to test the $1,680-$1,720 support zone before any major recovery attempt. Investors should observe whale accumulation patterns and exchange flow data for early reversal signals.
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