Ethereum (ETH) is currently facing a bearish outlook and is expected to see a significant price crash in the near future. The overall cryptocurrency market has been on a downward trend for the past few months, with ETH losing multiple key support levels, including an ascending trendline and various horizontal support zones. The altcoin is now approaching a critical support level at $1,475, and if it breaks below this level, we could witness a substantial price decline in the coming days.
The ongoing tariff war between the United States and other countries is believed to be one of the reasons behind the potential price crash in ETH. Expert technical analysis suggests that ETH is on the verge of breaking down the key support level at $1,475. If the altcoin closes a daily candle below $1,450, there is a strong possibility that it could drop by 30% and reach the $1,000 level in the coming days.
Additionally, ETH has fallen below the 200 Exponential Moving Average (EMA) on the daily time frame, indicating a strong bearish trend with sellers dominating the market. As of now, ETH is trading near $1,465, with a 6.50% price decline over the past 24 hours. The trading volume has also dropped by 65%, suggesting lower participation from traders and investors compared to previous days.
In a recent development, a crypto whale sold his entire holding of 10,000 ETH, worth $15.71 million. The whale had bought the ETH between October 4 and November 14, 2022, at an average price of $1,292. Despite booking a profit of $2.75 million, he missed out on a potential $27.60 million gain had he sold at the peak. This massive sell-off could create additional selling pressure and contribute to further downside momentum in the market.
Overall, Ethereum (ETH) is facing a challenging period ahead, with the potential for a significant price crash looming. Traders and investors should closely monitor the price action and key support levels to make informed decisions in the volatile cryptocurrency market.