Ethereum Faces Bear Market as Key Supports Fail
- Ethereum falls under key supports, sparking bear market fears.
- Institutional withdrawals and liquidations compound market stress.
- Fed signals impact global risk appetite and crypto sentiment.
Ethereum has dropped below crucial support levels amid growing downside pressure, marking signs of a bear market phase. Major liquidations and ETF withdrawals contribute to this decline, alongside a broader market retreat impacting correlated assets like BTC and SOL.
The significant price drop in Ethereum matters as it signals broader economic caution, potentially influencing global crypto sentiment and trading behaviors.
Market Analysis
Major support levels for Ethereum, notably $3,100 and $3,000, have been breached, fueling sell-offs. Institutional investors like BitMine face paper losses, while ETF outflows of $728 million suggest eroding market confidence.
Vitalik Buterin‘s silence on recent events leaves markets speculating:
No direct public statement or official blog post from Vitalik Buterin addressing this latest downturn is found in official channels as of November 21–22, 2025.
Meanwhile, Arthur Hayes sold 1,480 ETH, intensifying fears of further declines. The Federal Reserve‘s commentary affects global risk appetites.
The impact extends to widespread liquidations, especially among altcoins, with Solana and Dogecoin experiencing significant losses. These ripple effects are causing market doubt on future Ethereum recovery.
Institutional Moves and Liquidations
Increased sell-offs have resulted from institutional ETF redemptions and exchange outflows. The historical precedent of leveraged liquidations exacerbates the market’s bearish sentiment, invoking previous cycle volatility.
Potential outcomes include shifts in institutional investment strategies and regulatory responses. Past trends suggest that Ethereum’s present plunge could either stabilize or prolong current bearish tones in the crypto market.
Arthur Hayes, former BitMEX CEO, remarked:
Offloaded 1,480 ETH, sparking speculation that influential traders may be bracing for a deeper downside.
The Federal Reserve Chair, Jerome Powell, adds to the implications:
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Switzerland Postpones Crypto Tax Data Exchange to Meet Technological and International Requirements
- Switzerland delays crypto tax data sharing until 2027, aligning with global regulatory reevaluations amid evolving tech and market dynamics. - SGS acquires Australia's Information Quality to boost digital revenue, reflecting Swiss firms' expansion into tech-driven compliance solutions. - Canada's Alberta oil sands policy shift highlights governments prioritizing economic growth over strict climate regulations, mirroring Switzerland's approach. - BridgeBio's precision medicine and Aires' EMF solutions dem
Switzerland's Focus on Privacy Conflicts with International Efforts for Crypto Taxation
- Switzerland delays crypto tax data sharing with international partners until 2027, contrasting with global regulatory efforts to close offshore loopholes. - The U.S. advances implementation of the OECD's CARF framework, aiming to automate reporting on foreign crypto accounts by 2029. - CARF requires foreign exchanges to report U.S. account details, mirroring traditional tax standards and targeting crypto tax evasion. - Switzerland's privacy-focused stance highlights tensions between financial confidentia
Zcash News Update: Reliance Shifts Entirely to Zcash, Citing Privacy and Regulatory Alignment
- Reliance Global Group, a Nasdaq-listed fintech firm, shifted its entire crypto portfolio to Zcash (ZEC), divesting Bitcoin , Ethereum , and other major coins. - The strategic pivot, announced November 25, prioritizes Zcash's privacy-focused zk-SNARKs technology for institutional compliance and selective data disclosure. - Zcash's 1,200% 90-day price surge and Grayscale's ETF filing highlight growing institutional interest in privacy-centric assets. - The move reflects broader crypto industry trends towar
Bitcoin News Update: Bitcoin Fear Index Drops to 22 While Investors Look for Signs of Market Rebound
- Bitcoin Fear & Greed Index rose to 22 from 20, indicating slight easing of extreme fear but persistent bearish sentiment. - Bitcoin stabilized near $87,000 after hitting $80,553, yet remains below key resistance levels amid $3.5B ETF outflows. - Structural factors like leverage and liquidations drive selloffs, with ETF redemptions correlating to 3.4% price drops per $1B outflow. - Analysts note oversold technical indicators and waning retail capitulation as potential inflection points for near-term rebou
Trending news
MoreCrypto prices
More
