Ethereum, the second largest cryptocurrency by market capitalization, could be heading for its worst February, with prices already down 23% this month. Historically, February has been bullish for $ETH, with only one red month in 2018. However, this year seems to be shaping up as an exception, as $ETH struggles under intense market pressure and macroeconomic uncertainty.
At the time of writing, $ETH was down 12% in the last 24 hours to $2387, mirroring a broader market sell-off. Bitcoin fell to $87,611, its lowest level since Nov. 15. Other cryptocurrencies also plummeted, with Ethereum, XRP and Solana down sharply for the session.
$ETH could be heading for its worst February if it drops below $2400. 📉
— Spot On Chain (@spotonchain) February 25, 2025
Historically, February has been bullish for $ETH, with only one red month in 2018. But with a 23% drop already, this could be another exception.
Macroeconomic uncertainty, including new tariffs from the… pic.twitter.com/YyW5ZhIv7V
According to CoinGlass data, more than $1.34 billion in bullish crypto positions were liquidated on derivatives markets in the last 24 hours. Per Spot On Chain, if $ETH falls below $2,400, it could experience deeper losses, culminating in its worst February on record. With $ETH trading below this key level, the focus is on where the price of $ETH will go next.
What indicators and analysts suggest
According to Ali, a crypto analyst, one of the most critical support levels for Ethereum now sits at $2,300.
According to a recent Glassnode analysis, the $ETH Cost Basis Distribution (CBD) shows multiple cost bases have been moving lower, indicating investors have been accumulating on the way down. Accumulation zones show key support at $2,632, with 786,660 $ETH held at this level and resistance at $3,149, where 1.22 million $ETH are being held. This trend suggests that investors are averaging down, accumulating $ETH at lower prices rather than completely exiting positions.
In a recent tweet, CryptoQuant CEO Ki Young Ju shares some bullish thoughts on $ETH.
First, there is no significant sell pressure post-Bybit hack as on-chain and market data remain neutral. Exchange selling takes time, and OTC offloads have little effect on the price.
Second, Ethereum controls 56% of the stablecoin market cap, with the possibility that firms may use $ETH-based stablecoins and smart contracts more in 2025 due to a favorable regulatory outlook.
With the Ethereum spot ETF already in place, the CryptoQuant CEO predicts regulatory tailwinds that could trigger a "Large Cap ETF altseason," boosting $ETH this year.
Lastly, whales are accumulating; 10,000-100,000 $ETH wallet balances are up 24% over the past year, mainly from wallets under 1,000 $ETH. The current price is nearing the cost basis of accumulating addresses.
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