- ETH plummets over 30% in a day as trade war fears shake markets.
- Losing the $2,700 support level could trigger an even deeper selloff.
- Bulls need to reclaim $3,000 to restore confidence and shift momentum.
Ethereum just went through one of its worst trading days in recent memory, collapsing over 30% in less than 24 hours as panic gripped the crypto market. The massive liquidation event, fueled by escalating U.S. trade war tensions, sent shockwaves across digital assets. Bitcoin and other major altcoins also took a beating, but ETH’s drop was particularly alarming.
For a while, Ethereum had been fighting to reclaim critical price levels, but this sudden crash has shattered investor confidence. The question now is—was this just a short-term shakeout, or is ETH about to enter a deeper bearish phase?
A Crucial Pattern and the $2,700 Lifeline
Prominent analyst Ali Martinez pointed out a long-term head-and-shoulders formation developing on Ethereum’s chart. This pattern, if confirmed, could spell trouble. According to Martinez, Ethereum must hold above $2,700 to maintain its bullish structure. A breakdown below that level could open the door for a steeper correction, delaying any potential rally.
This isn’t just speculation—history backs it up. When ETH lost similar support levels in the past, it resulted in extended downtrends. Right now, all eyes are on whether buyers step in to defend this critical zone, or if sellers push prices toward lower demand areas.
Will Ethereum Bounce Back or Keep Bleeding?
The situation is tense. Following the liquidation event, Ethereum is currently hovering around $2,595, struggling to find solid ground. The entire market remains jittery, and volatility is through the roof.
For ETH to stage a proper comeback, it must reclaim $2,800 and then push beyond $3,000. If bulls can manage that, it could signal the start of a recovery and bring some much-needed confidence back to the market. But if Ethereum fails to gain traction, there’s a real risk of further downside.
With macroeconomic fears and trade war uncertainty still looming, the next few days could determine Ethereum’s fate in the coming months. Will ETH stabilize and recover, or are we looking at another leg down? Investors are watching closely—this could be a defining moment for the second-largest cryptocurrency.
