The post Reasons Why Ethereum Price Falling despite potential appeared on BitcoinEthereumNews.com.

Ethereum price crashed to $2,000, its lowest in 16 months. Whale liquidations and $168M in ETH longs wiped out in 24 hours. If $2K support fails, ETH could drop to $1,540—or even $1,000. Second-largest market capitalization cryptocurrency Ethereum price has dipped below the important $2,000 handle, touching its November 2023 levels. The steep fall, a 12.4% dip in 24 hours, has left eyebrows raised across the crypto community. But what caused the fall? The latest price action comes on the heels of a fleeting bout of optimism after the previous President Donald Trump’s proposal of adding Ethereum to a proposed U.S. cryptocurrency reserve. While the news initially triggered a rally, euphoria proved short-lived amid prevalent market worry. A U.S. Crypto Reserve will elevate this critical industry after years of corrupt attacks by the Biden Administration, which is why my Executive Order on Digital Assets directed the Presidential Working Group to move forward on a Crypto Strategic Reserve that includes XRP, SOL,… — Trump Posts on 𝕏 (@trump_repost) March 2, 2025 Some major reasons are responsible for Ethereum’s recent decline: Macroeconomic uncertainty Offshore markets are in disarray. Geopolitical tensions are increasing and fresh US tariff ideas have unleashed a wave of risk aversion. And, as has been the pattern in previous cycles of the market, crypto tokens, as riskier assets, are the first to absorb the shock. Whale liquidations and exchange supply surges. On-chain data shows that the supply of Ethereum on centralized exchanges recently reached an all-time high of 16.2 million ETH over the last 12 months. Such a spike shows that large holders have been selling their holdings, which totals up to selling pressure. Over $160 million worth of ETH long positions were realized within a day, which intensified the price drop. Bearish technical indicators Technical analysis indicates Ethereum…

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Filed under: News - @ April 12, 2025 11:13 pm