Ethereum Crashes 29% in a Week, but Reversal Signals Start to Appear

Ethereum experienced a sharp correction, falling almost 29% over the last week and dropping below $2,000 to levels last seen nine months ago, reflecting significant market weakness. On-chain data shows increasing stress, with realized losses exceeding $1.2 billion in 24 hours as holders capitulate and sell underwater. Furthermore, long-term holders (HODLers) have shifted to net selling, signaling deep concern among conviction-driven investors. Currently trading near $1,920, ETH is vulnerable below the $1,796 support, which could lead to further declines toward $1,671. However, the Money Flow Index (MFI) is deeply oversold (below 20.0), historically preceding short-term relief rallies, suggesting a potential reversal if selling pressure eases and investors keep supply off exchanges, possibly allowing ETH to reclaim $2,000 and target $2,500.

(Source：BeInCrypto)