3 METRICS HINT THAT THE ETHEREUM (ETH) PRICE CORRECTION IS NOT OVER

Ethereum (ETH), the second-largest cryptocurrency by market capitalization, has captivated investors with its innovative smart contract capabilities and the potential to revolutionize various industries.However, after a strong rally leading up to the Dencun upgrade, peaking at around $4,091, Ether has recently shown signs of underperformance compared to Bitcoin (BTC) and the broader crypto market. But as of this writing, ETH has yet to see a notable surge in trading volume, with CoinMarketCap data showing that it has been over $13 billion in the last 24 hours. Due to the current volume, Ethereum s price might not see a quick breakout yet. At the same time, it is unlikely to slide below the flag s lower trendline.This has left many traders wondering if the current downtrend is nearing its end, or if further price corrections are on the horizon. After rallying to $4,091 leading into the Dencun upgrade, Ether has underperformed over the last month compared to Bitcoin and the broader crypto market, leading traders to doubt whether the altcoin s downtrend is over.Understanding the factors that influence ETH's price fluctuations is crucial for making informed investment decisions. After reaching a 27-month high of $4,093 on March 12, ETH price pulled back as bears booked profits and the wider crypto market corrected. The price has since recovered to the current price of $3,511 . Despite the recovery, a bear flag can be seen on the daily chart, which hints at the continuation of the downtrend.The price is primarily determined by supply and demand dynamics, reflecting the level of market interest and the available supply of Ethereum. 2.3M subscribers in the ethtrader community. Welcome to /r/EthTrader, a 100% community driven sub. Here you can discuss Ethereum news, memesThis article delves into key on-chain metrics and market indicators that suggest the Ethereum price correction might not be over yet, providing valuable insights for navigating the current market conditions. 3 metrics hint that the Ethereum (ETH) price correction is not overWe'll explore factors like the ETH/BTC ratio, on-chain data related to investor behavior, and technical analysis patterns to paint a comprehensive picture of Ethereum's short-term price prospects.Furthermore, we'll consider the impact of macroeconomic events and overall market sentiment on ETH's price trajectory.

Ethereum's Recent Underperformance: A Cause for Concern?

The recent performance of Ethereum has been a source of concern for many investors.While Bitcoin and other altcoins have experienced significant rallies, ETH has struggled to keep pace.To put this into context, while BTC price has rallied 21% over the last 30 days, BNB Chain’s BNB and Solana’s SOL have rallied 44% and 76% respectively, over the same timeframe.This underperformance is evident in the declining ETH/BTC ratio, which has reached its lowest level since January. After rallying to $4,091 leading into the Dencun upgrade, Ether has underperformed over the last month compared to Bitcoin and the broader crypto market, leading traders to doubt whether the altcoin s downtrend is over. To put this into context, Bitcoin s price fell by 18% during the same period, while the total cryptocurrency market capitalization dropped by 16%. A number ofThis suggests that Bitcoin is currently outperforming Ethereum in terms of price appreciation.

After the initial excitement surrounding the approval of spot Ethereum ETFs, ETH rallied to around $3,972.However, this upward momentum proved to be short-lived, with ETH subsequently declining by 10% in the following week.This decline has further fueled doubts about whether the altcoin's downtrend is over.

Metric 1: The Declining ETH/BTC Ratio

The ETH/BTC ratio is a crucial indicator of Ethereum's relative strength compared to Bitcoin. Wondering why the ETH price fluctuates, and what affects the ETH prediction? Its price is determined by supply and demand, that is, how much interest there is in the market to buy Ethereum and how much is actually available. Ethereum is in a correction phase at the moment.A declining ratio suggests that Ethereum is underperforming Bitcoin, while an increasing ratio indicates that Ethereum is outperforming. BTC price has dropped 5.5% over the last week, with the ETH/BTC ratio dropping 5.21% from 0.055 on June 3 to 0.0513 on June 11, its lowest since May 20. ETH/BTC ratio. Source: TradingViewThe ETH/BTC ratio declined throughout March, reaching its lowest point since January.A further drop from 0.055 on June 3rd to 0.0513 on June 11th, its lowest since May 20th, illustrates this continued weakness. To put this into context, Bitcoin s BTC tickers down $70,857 price fell by 18% during the same period, while the total cryptocurrency market capitalization dropped by 16%. A number of market and technical indicators show that ETH may witness a deeper correction before embarking on a sustained recovery. ETH//USD daily chart.This downtrend in the ETH/BTC ratio suggests that investors are favoring Bitcoin over Ethereum, potentially due to Bitcoin's perceived safe-haven status or the anticipation of further growth catalysts specific to Bitcoin.

This metric is vital because it highlights the capital flow between the two leading cryptocurrencies.When investors are more confident in Ethereum's growth prospects, they tend to allocate more capital to ETH, driving the ratio up.Conversely, when risk aversion increases, investors often flock to Bitcoin, causing the ratio to decline.

Metric 2: On-Chain Data and Whale Activity

Analyzing on-chain data can provide valuable insights into investor behavior and potential price movements. 3 metrics hint that the Ethereum (ETH) price correction is not over ETHUSD BTCUSD BNBUSD SOLUSD After rallying to $4,091 leading into the Dencun upgrade, Ether ETHUSD has underperformed over the last month compared to Bitcoin and the broader crypto market, leading traders to doubt whether the altcoin s downtrend is over.Large transactions, particularly those involving whales (individuals or entities holding significant amounts of cryptocurrency), can have a significant impact on the market.

Recently, a $25.67 million whale deposit to Kraken triggered a short-term bearish correction in Ethereum's price.While long-term buyer dominance and key market metrics suggest any price pullback is likely to be shallow, this event highlights the vulnerability of ETH to large-scale transactions.Monitoring whale activity can provide early warnings of potential price swings.

Furthermore, data from IntoTheBlock reveals a significant resistance zone between $3,534 and $3,639. Several Ethereum (ETH) on-chain metrics suggest a potential short-term price correction after the cryptocurrency s 35% rally over the past 30 days. ETH recently touched the $4,000 mark, prompting concerns that it was overbought.Within this price range, approximately 1.17 million addresses previously purchased around 4.97 million ETH. BTC price has rallied 21% over the last 30 days, while other top-cap layer 1 tokens, such as BNB Chain s BNB and Solana s SOL, have rallied 44% and 76%, respectively, over the same timeframe. The ETH/BTC ratio declined throughout March, reaching its lowest since January. ETH/BTC ratio. Source:This suggests that many investors in this range may be looking to break even, creating strong selling pressure that could hinder ETH's upward momentum.

Metric 3: Technical Analysis and Bearish Patterns

Technical analysis involves studying historical price charts and identifying patterns to predict future price movements. The Signs That Suggest Ethereum s Price Correction Isn t Over Yet Ethereum exchanges hands at $2,999.11. But if it decides to move upward, it ll face resistance at the 50-day moving average, which aligns with the 0.382 Fibonacci level. $3,324, that is. ETH underperformed last month, leading many to question whether its downtrend is over.A number of market and technical indicators show that ETH may witness a deeper correction before embarking on a sustained recovery.After reaching a 27-month high of $4,093 on March 12, ETH price pulled back as bears booked profits and the wider crypto market corrected.

One such pattern is the bear flag, which can be seen on the daily chart.A bear flag is a continuation pattern that suggests the downtrend is likely to continue. After rallying to $4,091 leading into the Dencun upgrade, Ether ( ETH ) has underperformed over the last month compared to Bitcoin and the broader crypto mThis pattern typically forms after a sharp price decline, followed by a brief period of consolidation. The US Fiscal deficit and a few other macroeconomic events are also taking a toll on the ETH price. BlackRock CEO Larry Fink has predicted that the country would hit a wall unless economic growth of at least 3% every year is sustained and the national debt is managed. Amid this news, the market sentiments crashed, and so did the Ethereum price.The subsequent breakout below the flag's lower trendline confirms the continuation of the downtrend.

Understanding Bear Flag Patterns

Bear flag patterns are useful for traders because they indicate a likely continuation of a downtrend. After rallying to $3,972 after the approval of spot Ethereum exchange-traded funds (ETFs), Ether ETHUSD has underperformed over the last week, down 10%, compared to Bitcoin and the broader crypto market, leading traders to doubt whether the altcoin s downtrend is over.Here's how to recognize and interpret them:

  1. Initial Downtrend: A sharp decline in price forms the ""pole"" of the flag.
  2. Consolidation: The price then consolidates within a narrow range, forming a flag-like structure.This consolidation often slopes upward slightly, resembling a flag flying on a pole.
  3. Breakout: The downtrend resumes when the price breaks below the lower trendline of the flag.This breakout signals a continuation of the bearish momentum.

Traders often use the height of the pole to estimate the potential price target after the breakout.

Macroeconomic Factors and Market Sentiment

While technical and on-chain analysis provide valuable insights, it's crucial to consider the broader macroeconomic environment and overall market sentiment.Factors such as interest rate decisions, inflation data, and geopolitical events can significantly impact cryptocurrency prices.

For example, concerns about the US fiscal deficit and the potential for economic slowdown have contributed to market uncertainty, weighing on the price of Ethereum. ETHUSD Ethereum 3 metrics hint that the Ethereum (ETH) price correction is not over Ethereum price has had a rocky week and data suggests that more downside could be on the way. Continue reading 3 metrics hint that the Ethereum (ETH) price correction is not over TheBlackRock CEO Larry Fink's warning about the country hitting a wall unless economic growth of at least 3% every year is sustained and the national debt is managed, added to the negative market sentiment, further impacting the Ethereum price.

Moreover, general market sentiment plays a significant role.When investors are fearful or uncertain, they tend to reduce their exposure to riskier assets like cryptocurrencies, leading to price declines. ETH Price Alert - Ethereum experienced a short-term bearish correction triggered by a $25.67 million whale deposit to Kraken, but long-term buyer dominance and key market metrics suggest any price pullback is likely to be shallow.Conversely, when investors are optimistic and confident, they are more likely to invest in cryptocurrencies, driving prices higher. 2025's lack luster performance is plaguing investors, creating fear that ETH may not deliver in the long run.

Potential Support and Resistance Levels

Identifying key support and resistance levels is essential for understanding potential price targets and risk management.According to technical analysis, Ethereum may find support around the $2,300 - $2,500 range.A clear break below this range could lead to further downside.

On the upside, Ethereum faces significant resistance between $3,534 and $3,639, as indicated by IntoTheBlock's IOMAP data.Overcoming this resistance would require strong buying pressure and positive market sentiment. Ether (ETH) price has increased by 58% year to date, but it has far underperformed the market leader Bitcoin (BTC). In fact, the ETH/BTC price ratio has dropped to 0.063, its lowest level in nineThe 50-day moving average, which aligns with the 0.382 Fibonacci level at approximately $3,324, also represents a potential resistance level.

Will Ethereum Price Attempt Reversal as ETH Fundamentals Flip Bullish?

Despite the current bearish signals, it's important to consider the potential for a reversal. Ethereum s price action has demonstrated a pullback in recent days, reacting to broader market cues, including geopolitical developments. As of the time of writing, the asset is trading at $2,621, marking a 3.2% decline over the last 24 hours.Several factors could contribute to a bullish outlook for Ethereum in the future.These include the growth in the Real World Asset (RWA) sector and the decrease in the amount of ETH held on exchanges.

As the RWA sector grows, Ethereum's smart contract capabilities could become increasingly valuable, driving demand for ETH.Furthermore, a decrease in the amount of ETH held on exchanges suggests that investors are holding onto their ETH, potentially indicating a belief in its long-term value. A import ncia desta zona de resist ncia refor ada pelos dados da IntoTheBlock. Seu modelo In/Out of the Money Around Price (IOMAP) revela que esta rea est dentro da faixa de pre o de US$ 3.534 e US$ 3.639, onde aproximadamente 1,17 milh o de endere os anteriormente compraram cerca de 4,97 milh es do ETH. Ether: Gr fico do modeloBullish sentiment is always on the horizion as more fundamentals come to light regarding ETH and it's long term value.

Factors Affecting Ethereum's Price: A Summary

Several factors influence Ethereum's price, making it a complex asset to predict.Understanding these factors can help investors make more informed decisions.

Navigating the Current Market Conditions: Actionable Advice

Given the current market conditions and the potential for further price correction, it's crucial to approach Ethereum investments with caution and a well-defined strategy.

  1. Conduct Thorough Research: Stay informed about the latest developments in the Ethereum ecosystem, including technological upgrades, regulatory changes, and market trends.
  2. Manage Risk: Use stop-loss orders to limit potential losses. Will Ethereum Price Attempt Reversal as ETH Fundamentals Flip Bullish? The 2025 lackluster performance of ETH price is plaguing investors in 2025. However, this outlook could change as two key fundamentals suggest the growth in the RWA sector followed by the plummet of ETH held on exchanges.Diversify your portfolio to reduce exposure to any single asset.
  3. Consider Dollar-Cost Averaging: Invest a fixed amount of money at regular intervals, regardless of the price.This can help to smooth out the impact of price volatility.
  4. Monitor On-Chain Data: Track whale activity and other on-chain metrics to gain insights into investor behavior.
  5. Be Patient: Cryptocurrency markets can be volatile.Avoid making impulsive decisions based on short-term price fluctuations.

Common Questions About Ethereum Price Corrections

Why is Ethereum underperforming Bitcoin?

Ethereum's underperformance can be attributed to various factors, including a shift in investor sentiment towards Bitcoin as a safe-haven asset, anticipation of Bitcoin-specific catalysts (e.g., further institutional adoption), and profit-taking after Ethereum's strong rally leading up to the Dencun upgrade.

How deep could the Ethereum price correction go?

The depth of the correction is uncertain, but key support levels around $2,300 - $2,500 could provide a floor. 3 metrics hint that the Ethereum (ETH) price correction is not over cointelegraph.comA break below this range could lead to further declines.

When will the Ethereum downtrend end?

Predicting the exact end of the downtrend is difficult.Monitoring key metrics such as the ETH/BTC ratio, on-chain data, and technical analysis patterns can provide clues.A sustained break above resistance levels and positive market sentiment would be encouraging signs.

Is it a good time to buy Ethereum?

Whether it's a good time to buy Ethereum depends on your individual risk tolerance, investment goals, and market outlook. After rallying to $4,091 leading into the Dencun upgrade, Ether (ETH) has underperformed over the last month compared to Bitcoin and the broader crypto market, leading traders to doubt whether the altcoin s downtrend is over. To put this into context, Bitcoin s (BTC) price fell by 18% during the same period, while the total cryptocurrency market [ ]Given the potential for further price correction, it's prudent to exercise caution and consider dollar-cost averaging or waiting for clearer signs of a trend reversal.

Conclusion: Staying Informed and Prepared

The analysis of key metrics suggests that the Ethereum price correction might not be over yet. Discover the leading platforms for buying and selling ETHEREUM ETH on our exchange review page. Bulls remain vulnerable until a clear break above the $2,200 $2,300 range occurs. Price remains below all key Fibonacci confluences (0.382 at $2,881, 0.5 at $2,503), underscoring the ongoing bearish structure. ETH Price PredictionThe declining ETH/BTC ratio, concerning on-chain data, and bearish technical patterns all point to the possibility of further downside. Ethereum (ETH) price dropped to $2,460.63, marking a 2.04% decline over 24 hours. Its market cap stands at $297.07 billion, with trading volume at $32.48 billion. While Ethereum held steady over $2,500 through the weekend, Monday s market correction erased some of the gains.While a clear bullish reversal isn't impossible, investors should manage their risk accordingly. Are you curious why Ether has been underperforming compared to Bitcoin and the broader crypto market lately? Even with a 8% increase in March, Ether has notBy staying informed, conducting thorough research, and implementing sound risk management strategies, investors can navigate the current market conditions and position themselves for potential future gains. Su modelo In/Out of the Money Around Price (IOMAP) revela que esta rea est dentro del rango de precios de USD 3,534 y USD 3,639, donde aproximadamente 1.17 millones de direcciones compraron anteriormente aproximadamente 4.97 millones de ETH.Remember, patience and discipline are key to successful cryptocurrency investing. ETH price struggles to maintain the bullish momentum that propelled it toward $2,800 a few days ago These 4 metrics suggest Ethereum price is sinking toward $2,300 EcosystemKeep a close eye on the ETH/BTC ratio, on-chain data, and technical indicators.Staying vigilant and adaptable will be crucial for navigating the volatile cryptocurrency market and making informed decisions about your Ethereum investments.Always conduct your own research before making any investment decisions.The information provided in this article is for informational purposes only and should not be considered financial advice.

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