Why Ethereum’s Price is in Freefall – Don’t Miss This Crash Course!

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Ah, Ethereum! Once the darling of the cryptocurrency world, now falling faster than a lead balloon at a weightlifting competition. This year has been an absolute corker for Ethereum (ETH), as it hurtles down into the depths of despair, making it one of the absolute worst performers among the big-time cryptocurrencies. 😱

For three consecutive weeks, Ethereum has been plummeting, reaching depths not seen since March 2023. It’s dropped more than half of its value since its November peak, costing investors billions—yes, billions with a “B”! This article shall now attempt to explain, with charts, just what in the name of all things digital is going on with this once-mighty coin.

Spot Ethereum ETFs Have Taken the Plunge

One of the chief culprits behind this spectacular nosedive? Spot ETFs, which have been draining out faster than a tap left on overnight. The outflows this year are nothing short of monumental, indicating that the good folk of the United States have lost their appetite for Ethereum. The chart below shows that these funds have experienced net outflows for six consecutive weeks. Ouch. With a paltry $2.3 billion in net inflows compared to Bitcoin’s whopping $35 billion, it’s clear that investors are showing Ethereum the cold shoulder.

Ethereum No Longer Reigns Supreme in Fees

Ah, the glory days of Ethereum—when it ruled the crypto kingdom, raking in the fees from DeFi, gaming, NFTs, stablecoins, and all manner of blockchain wizardry. Fast forward to today, and well, Ethereum’s throne has been unceremoniously toppled by other contenders. The chart below illustrates the embarrassing drop in fees. Ethereum’s $227 million pales in comparison to Tether’s $1.3 billion, Solana’s $376 million, and Tron’s $880 million. The real kicker? Even platforms like Jito and Uniswap have beaten Ethereum at its own game!

Development Activity? More Like Development Fatigue

On-chain data is no friend of Ethereum right now, as it shows a marked drop in developer activity. What happened, you ask? Well, developers have decided that Ethereum is the equivalent of a clunky old laptop while shiny new chains like Solana, Sonic, and Berachain are the latest smartphones. And as if that wasn’t enough, many have shifted focus to Ethereum’s own layer-2 solutions—Base, Arbitrum, and Optimism. They’re faster, cheaper, and, well, a whole lot more fun to work with.

Ethereum Forms a Triple-Top, and It’s Not the Good Kind

Ah, the triple-top pattern—a technical analysis term that sounds far more ominous than it actually is. Unfortunately for Ethereum, it *is* as ominous as it sounds. After forming this bearish pattern on the weekly chart, Ethereum has dropped faster than you can say “blockchain” after hitting three peaks at around $4,062. The neckline—oh yes, the neckline—sat at $2,132, which was once a key support level. But guess what? Ethereum broke through that too, as though it were a cheap piece of string. And now, it’s below the 50-week and 100-week moving averages. What’s next? Well, we’re staring at a potential downside target of $1,000. 😬

A Classic Case of Falling from Grace

Ethereum’s sharp decline in 2025 is the stuff of legend—and not in a good way. If you had the foresight (or misfortune) to invest $10,000 back in November, well, brace yourself. That investment is now worth a meager $3,650. With weak fundamentals and technical indicators that are more negative than a grumpy cat, it’s safe to say that Ethereum might have more plummeting left to do in the months ahead.

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2025-04-08 21:00