Ethereum has wiped out seven years of gains, plummeting more than 10% over the past 24 hours in a fall below its 2018 cycle peak of $1,450.
The second largest crypto asset by market capitalization tanked to $1,400 in early trading on Wednesday in Asia. The move was part of a broader crypto market slump as Donald Trump’s global trade tariffs came into effect on April 9.
The asset is now more than 70% down from its 2021 market cycle peak of $4,878, and the majority of those losses have been sustained over the past three months.
$ETH – #Ethereum is trading at generational lows. I think it will find a bottom overhere soon. Insane opportunity. pic.twitter.com/LFuAdfoby0
— Crypto Caesar (@CryptoCaesarTA) April 8, 2025
Ethereum Technicals Break Down
Ethereum has also dropped below its realized price, meaning that the average long-term holder is now underwater, as are short-term Bitcoin holders. Historically, this has marked major accumulation zones and bottoming phases.
Additionally, the BTC/ETH ratio has dumped to its lowest levels for five years at 0.018, according to Tradingview.
Ethereum / Bitcoin pair is at the bottom zone!
A big move is coming soon…
Be patient $ETH #ETH #Ethereum pic.twitter.com/BxqPo89pZ9
— @CryptoELlTES (@CryptooELITES) April 7, 2025
Analyst James Check shared a concerning statistic: Bitcoin has outperformed Ethereum for 85% of trading days since the asset was launched in 2015.
Currently, it seems to be weak retail investors who are panic selling, since institutional ETF investors appear to be holding steady. According to Farside Investors, the majority of spot Ether ETFs in the United States have experienced zero flows or very minor outflows amid the recent price collapse.
Where Next for ETH?
On a brighter note, some analysts have pointed to a dwindling supply of Ethereum on exchanges, which could lead to a potential supply shock.
The Ethereum supply shock is coming.
And 99% of people aren’t ready for it.
This will melt faces. pic.twitter.com/EM4ySH9UWl
— Merlijn The Trader (@MerlijnTrader) April 8, 2025
Additionally, technical indicators such as the RSI (relative strength index) are deeply in oversold territory, suggesting that a market bottom could be close. However, the fundamental outlook remains bleak until the macroeconomic landscape improves and trade deals are reached between the US and its trading partners, possibly later this year. Central banks may resort to more money printing to mitigate current economic challenges, which could inject necessary liquidity into crypto assets.
Moreover, Ethereum could see an uptick if real-world asset tokenization gains traction, subsequently increasing the demand for ETH as the network is utilized for more products.
Until that time arrives, Ethereum stands as a cautionary tale within the crypto community, having lost all value accrued since 2017. While some view this period as a generational buying opportunity, others have already abandoned ship.
The original post Ethereum Wipes Out 7 Years of Gains in Crash to $1,400, Where Next for ETH? appeared first on CryptoPotato.
