Ethereum News Today: Ethereum's Rebound Hangs in Balance as Death Cross and Hodler Exodus Intensify

Ethereum faces mounting pressure as a 300% surge in selling from long-term holders coincides with a bearish technical signal known as a "death cross," threatening to derail its recent price rebound. The cryptocurrency, which briefly rose 10% from a $2,600 low this week, now trades near $2,820 but remains vulnerable to further declines. Analysts warn that the confluence of these two factors-elevated selling pressure and deteriorating technical indicators-could force Ethereum back toward critical support levels as early as next month.

The immediate catalyst for concern emerged on November 23, when net selling by hodlers (wallets holding ETH for over 155 days) spiked to 1,027,240 ETH, a threefold increase from the previous day's 334,600 ETH. This represents a significant exit of long-term capital at a time when Ethereum's price action already suggests broader market weakness. The sell-off aligns with the formation of a death cross, where the 50-day exponential moving average (EMA) has dipped below the 200-day EMA, a pattern historically associated with prolonged downtrends.

Technical analysis reinforces the bearish outlook. Ethereum's price has failed to reclaim the $2,800 level, a key psychological threshold, despite a brief rebound. The asset now trades near $2,820, with its first line of defense at $2,710-a Fibonacci retracement level. A breakdown below this would open the door to a 13% drop toward $2,450, followed by deeper support at $1,700 if the selling trend persists. Meanwhile, Ethereum ETFs, which had seen a seven-day outflow streak earlier this month, have failed to generate sustained demand, with $182.8 million in redemptions recorded on November 17 and $261.59 million on November 20 according to crypto data.

Despite the bearish momentum, Ethereum's ecosystem shows signs of resilience. BitMine, a crypto infrastructure firm, announced plans to launch the Made in America Validator Network (MAVAN), a U.S.-based Ethereum staking initiative aimed at bolstering the network's security and decentralization. The company, which holds $4 billion in unrealized losses from recent market crashes, views the current price dip as a "golden opportunity" to accumulate ETH at discounted levels. Similarly, Coinbase's recent launch of Ethereum-backed loans-a feature allowing users to borrow cash against their ETH holdings-has expanded demand for the asset by enabling liquidity without selling according to CoinFomania.

Looking ahead, Ethereum's on-chain upgrades, including the December 3 Fusaka protocol update, could provide a technical boost by doubling the network's blob capacity and improving scalability. However, macroeconomic headwinds persist, with the Federal Reserve's delayed rate cuts and persistent inflationary pressures dampening risk appetite in crypto markets. Analysts at CoinMarketCap note that while Ethereum's fundamentals remain strong, the Fed's December 11 rate decision and the performance of the Fusaka upgrade will be critical in determining whether the asset stabilizes above $2,936 support or revisits 2025 lows.

For now, traders are bracing for volatility. The death cross and hodler selling have created a self-reinforcing bearish cycle, with sellers dominating both short-term price action and long-term sentiment. While Coinbase's lending product and BitMine's staking efforts offer glimmers of optimism, the broader market environment-marked by ETF outflows and a fragile macroeconomic backdrop-suggests Ethereum's near-term trajectory remains perilous.