Ethereum price (ETH) has stabilized at the $3,000 support level after intense selling pressure. The market observes Ethereum’s movements closely as the year draws to a close. The cryptocurrency has declined by 10% over the past month, which aligns with broader market trends. Investors and analysts are speculating whether ETH will maintain its current level or face further declines as 2025 approaches.
Will ETH Price Hit Back To $3k Level Again?
After a spike that brought its value over the $4,000 mark, Ethereum has seen a notable pullback, driven by market-wide volatility and the Federal Reserve’s tougher stance.
Currently, ETH is at $3,390.81. The cryptocurrency has faced a 10% decline this December. The asset initially struggled to surpass the key resistance at $3,500 and has now dropped beneath the $3,300 mark, teetering close to its next support level at $3,000.
Despite attempts by Ethereum enthusiasts to rally the price, resistance has stifled these efforts, leaving the asset to contend with lower support thresholds. This downward trend follows a broader market sell-off, further exacerbated by the recent hawkish Fed meeting.
The broader cryptocurrency sector continues to mirror this bearish sentiment, influencing Ethereum’s movements as the year draws close.
Ethereum Faces Stiff Rivals in 2025
Ethereum price trends reveal an ongoing struggle amidst heightened competition projected for 2025. The top coin transaction fees have witnessed a notable decrease, signaling a subdued level of activity within the Ethereum network, even after its March 2024 upgrade.
This comes despite other protocols like Solana and Sui attracting a broader user base, which impacts Ethereum’s market position. Such a dynamic suggests that Ethereum may face difficulties in regaining its lost ground in the coming year.
Ethereum Spot ETF Faces Major Outflows
The Ethereum spot ETF experienced a substantial withdrawal of $55.4094 million on December 30, marking the largest outflow following several days of positive inflows. This event contrasted sharply with the recent net gains observed over the preceding four days.
The Grayscale ETF also reported significant outflows, totaling $17.3633 million in just one day, further emphasizing a notable shift in investor sentiment and market dynamics.
A recent transaction on the Ethereum blockchain revealed a significant purchase by a prominent investor. This individual acquired 22,919 ETH, valued at approximately $77.2 million, for an average price of $3,368 each just four hours ago.
Since August 12, this investor has executed 25 swing trades involving ETH and Wrapped Bitcoin (WBTC), with 21 of these trades yielding profits. The success rate of these trades stands impressively at 84%, culminating in a total profit of $4.57 million.
If bearish trends dominate, the ETH might surpass the critical support level of $3,300. Analysts closely monitor the $3,200 and $3,000 marks, representing subsequent support thresholds that could spell a deeper retracement.
Conversely, if bullish investors make a comeback, Ethereum’s value might climb, possibly retesting higher resistance levels.
The Relative Strength Index (RSI), positioned at 49.26, indicates a neutral momentum that neither favors the bears nor the bulls distinctly. The Moving Average Convergence Divergence (MACD) displays a minor bullish signal as the blue line crosses above the orange signal line, suggesting potential upward movement if sustained.