The cryptocurrency market is attempting to recover after a downturn triggered by escalating trade tensions and President Trump’s decision on Bitcoin 
$78,774 reserves. The leading altcoin, Ethereum (ETH) 
$2,323, has seen a nearly 14% drop in value over the past week, falling below the $2,000 mark. The ETH/BTC pair has reached its lowest level since May 2020, causing investors to question the likelihood of a rebound. Market data indicates a decrease in the volume of open positions in Ethereum and significant liquidations amounting to millions of dollars.
Ethereum’s Market Share Rapidly Declining
According to data from Coinglass, Ethereum has recently experienced $71 million in liquidations. Buyers lost $44 million while sellers faced losses of $27 million. The volume of open positions has decreased by 2%, now standing at $17.65 billion, with the ETH/BTC pair dropping to 0.02267, marking a five-year low.
As prices decline, Ethereum’s dominance in the cryptocurrency market has fallen to 8.6%, a level not seen since February 2020. Conversely, Bitcoin’s market share has risen to 61.1% since 2022. In 2017, one BTC could be exchanged for six ETH, but today, the same amount can purchase 42 ETH.
Current Status of ETH Prices
As of the time of this report, Ethereum is trading around $1,900. According to CoinMarketCap, the king of altcoins has lost 3.5% in value within 24 hours. The short-term EMA20 indicator suggests that if prices remain below the $1,870 – $1,880 range, selling pressure may increase.
In technical analysis, the support level at $1,772 holds critical importance. Should prices surpass the EMA20, the $2,000 target could come back into play, leading to further upward movements. Although the RSI stands at 45, the potential for buyers to take action remains.
Market experts caution investors to prepare for high volatility in Ethereum in the coming days. They attribute this to ongoing uncertainties in the global economy and regulatory developments that continue to impact the cryptocurrency market profoundly.
