Ethereum Plummets 56.86% as Institutional Sell-Offs Intensify

Ethereum's price has plummeted, resuming its decline below $1,400 as significant selling activity hit the cryptocurrency market. A wallet allegedly linked to Donald Trump’s DeFi project, World Liberty Financial, liquidated over 5,400 ETH, indicating growing institutional unease. This move, coupled with a major crypto whale exiting a long-held position of 10,000 ETH, has accelerated Ethereum's downturn. The cryptocurrency has lost more than 56% of its value since the beginning of 2025.

The Ethereum price has dropped to $1,400, experiencing extreme market pressure and a further decline of 56.86% since January 2025. The wallet associated with World Liberty Financial sold 5,471 ETH for $8.01 million, contributing to an estimated $125 million in unrealized losses. This institutional sell-off is exacerbated by activities from crypto whales, who have also been liquidating their holdings.

In one notable liquidation, a long-term holder sold 10,000 ETH worth $15.71 million after holding for over 900 days. The broader outlook for the cryptocurrency market remains bleak, with Ethereum breaching support levels and lacking substantial bullish momentum. Analysts have identified a critical support level at $1,200, which could further exacerbate the ETH crash amid fears of additional downside. Despite minor rebounds earlier in the year, Ethereum's price trajectory shows weakness and may be nearing its cycle bottom by the end of April. Investors are closely monitoring liquidity metrics and on-chain data as the market braces for more volatility. Institutional and whale sell-offs pose further challenges for Ethereum, threatening to alter its outlook for the rest of 2025.

The trading session for Ethereum began with noticeable fluctuations. At 02:40 UTC, the MACD indicator showed a death cross, signaling a decline in momentum as the MACD line crossed below its signal line, paving the way for a drop. Between 09:00 and 12:00, a golden cross appeared on the MACD, indicating a possible trend reversal. At 12:20, another death cross became evident, intensifying bearish prospects and leading the price to a base where support remained valid. A breakout was detected by 00:45 UTC, pushing the Ethereum price through to the resistance level at $1,619. The analysis of Ethereum's price demonstrates a power struggle between bulls and bears, driven by institutional selling and movements by crypto whales. Short-term recoveries may be possible.

Ethereum's price remains a subject of intense speculation and varied predictions as the cryptocurrency navigates a confused market in 2025. According to some analysts, Ethereum's price could go bullish, reaching an astounding $5,770 by the end of 2025 and jumping to about $21,516 by 2035. Others forecast a retrenchment in bullishness, expecting the token to sell lower in the next year. Several factors, including institutional adoption, regulatory clarity, and technological advancements such as Pectra and Dencun upgrades, will influence Ethereum's future. Investors and enthusiasts should adopt a balanced view, considering both the technological promises and the inherent risks in the market.