- Ethereum dropped below $4,000, losing nearly 20% in under two weeks, with analysts warning of a deeper slide toward $2,750 if $4,841 isn’t reclaimed.
- Co-founder Jeffrey Wilcke moved 1,500 ETH (~$6M) to Kraken, fueling fears of another sell-off given his history of large transfers.
- Spot ETH ETFs saw $250M in outflows (led by Fidelity’s $158M), while futures interest fell 7% to $54B, signaling weakening market confidence.
Ethereum slipped under the $4,000 mark this week, dropping 4% in just 24 hours and rattling market sentiment. Analysts are warning that unless ETH can reclaim the $4,841 level soon, the correction could deepen, dragging prices all the way down toward $2,750. The decline comes after nearly two weeks of steady selling, with ETH losing almost 20% in less than two weeks as leveraged traders get flushed out.
Analysts Flag $2,750 as Critical Support
Ali Martinez pointed to Ethereum’s MVRV price bands, noting that bulls must break above $4,841 to reverse the current trend. Without that move, ETH may continue sliding toward the $2,750 region. Daan Crypto Trades added that the recent red candle cutting through $4,000 was a bad signal, and that even holding above $4,100 could be a struggle. Both analysts agree the next few weekly closes will determine whether Ethereum is staring at a real breakout—or more downside.
Wilcke’s ETH Transfer Sparks Concern
Nerves were further shaken after Ethereum co-founder Jeffrey Wilcke moved 1,500 ETH—worth around $6 million—onto Kraken. While a transfer doesn’t always mean a sell, Wilcke has a history of liquidating portions of his holdings after similar moves. Back in August, he sent $9.22 million to the exchange and has previously shifted hundreds of millions in ETH across wallets. His timing this week, right as ETH slipped below $4,000, only added fuel to the bearish fire.
Outflows Pile On the Pressure
The sell pressure wasn’t just from whales. Spot ETH ETFs saw over $250 million in outflows on Sept. 25, with Fidelity’s FETH alone accounting for $158 million. Futures interest also tumbled 7% to $54 billion, reflecting traders stepping away from leveraged bets. Combined, these outflows paint a picture of weakening confidence. Unless fresh buying demand steps in soon, ETH could be on a slippery slope toward its lower support zones.
