Ethereum has experienced a much-needed surge above the $2,000 level, a key psychological and technical mark that bulls have struggled to reclaim since March 10. This breakout sparked optimism in the market, but the momentum was short-lived, as ETH quickly pulled back below the level and was unable to confirm a solid hold. Analysts widely agree that a strong and sustained move above $2,000 is critical for Ethereum to initiate a broader recovery rally.

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Despite the hesitation at resistance, on-chain data shows signs of growing investor confidence. According to Santiment, investors have withdrawn over 360,000 ETH from centralized exchanges in the last 48 hours. This shift is often interpreted as a bullish signal, suggesting that large holders are moving their assets to private wallets, possibly in anticipation of higher prices.

Meanwhile, the broader macroeconomic landscape continues to apply pressure. Trade war tensions and unpredictable policy decisions from the U.S. government have weighed heavily on both crypto and traditional markets, intensifying volatility and investor uncertainty. Still, Ethereum’s latest exchange outflows hint at a potential trend shift — one that could favor accumulation and set the stage for the next major move, provided bulls can reclaim and hold above the $2K threshold.

Ethereum Faces Critical Test Amid Exchange Outflows

Ethereum has lost over 57% of its value since mid-December, falling from a high of around $4,100 to recent lows near $1,750. This sharp correction has created a challenging environment for bulls, who have repeatedly failed to reclaim and hold higher price levels.

Now, the $2,000 mark stands as a psychological and technical battlefield. If Ethereum can firmly establish support above this level, it could provide the foundation for a recovery rally. However, a failure to do so would likely result in further downside and reinforce the bearish trend.

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The current market landscape struggles with uncertainty. On one side, continued macroeconomic headwinds—rising trade tensions, inflation concerns, and policy shifts from the U.S. government—have weakened investor confidence and driven volatility across risk assets. On the other hand, there are signs of potential recovery and accumulation.

Top crypto analyst Ali Martinez shared data from Santiment, revealing that investors have withdrawn over 360,000 ETH from centralized exchanges in the past 48 hours. Historically, large-scale withdrawals are considered a bullish signal, as they suggest investors are moving assets into cold storage for long-term holding rather than preparing to sell.

This move could indicate growing confidence among large holders and signal the early stages of a new accumulation phase—provided Ethereum can hold above $2,000.

Price Holds Steady Below $2,000

Ethereum is currently trading at $1,960 after briefly attempting to reclaim the $2,000 mark in yesterday’s session. The psychological and technical resistance at $2,000 remains a crucial barrier that bulls must overcome to shift market momentum in their favor. Despite a small bounce from recent lows, Ethereum has struggled to gain traction amid persistent market uncertainty.

Bulls need to push ETH above $2,000 and reclaim higher levels such as $2,150 and $2,300 to confirm the beginning of a recovery phase. A sustained move above these levels would not only signal a potential trend reversal but could also attract sidelined investors back into the market. Until that happens, Ethereum remains vulnerable to continued downside pressure.

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If bulls fail to break above the $2,000 resistance in the coming sessions, Ethereum could lose support at current levels and revisit lower demand zones around $1,850 or even $1,750. With the broader crypto market still under the influence of macroeconomic volatility and weak sentiment, the coming days are likely to be pivotal for ETH’s short-term direction. A decisive move either above or below this key range will likely set the tone for the next major price action.

Featured image from Dall-E, chart from TradingView 

Tron (TRX) founder Justin Sun has staked $100 million worth of Ethereum (ETH), according to the blockchain analytics platform Arkham.

Arkham notes that Sun’s staked ETH will yield $3 million worth of Ethereum per year in passive income.

In addition to staking ETH, Sun also teased that Tron’s native asset, TRX, would soon be available on the Ethereum competitor Solana (SOL).

Sun, a polarizing figure in the crypto community, says it is currently “Tron meme szn [season].” He also notes that the issuance of top stablecoin USDT on Tron recently reached a new all-time high of $64.7 billion.

The U.S. Securities and Exchange Commission (SEC) recently paused its civil case against Sun. According to recent court filings, the Tron founder and the regulatory agency jointly asked United States District Judge Edgardo Ramos if they could “move to stay [the] case to allow the parties to explore a potential resolution.” Ramos granted the application a day later.

In 2023, the SEC accused Sun – who went on to invest millions of dollars into President Donald Trump’s decentralized finance platform World Liberty Financial – and his crypto firms of fraud, selling unregistered securities and manipulating the price of the digital asset TRX via wash trading.

TRX, a layer-1 asset, is trading at $0.23 at time of writing. The 10th-ranked crypto asset by market cap is down nearly 1% in the past day but up nearly 3% in the past week.

ETH is trading at $2,033 at time of writing. The second-ranked crypto asset by market cap is up nearly 7% in the past 24 hours and more than 8% in the past seven days.

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Featured Image: Shutterstock/Design Projects

Ethereum, like the broader crypto market, has experienced a sharp drop in price in recent weeks. From a high of $3,352 at the start of 2025, Ether now trades around $1,800 and $1,900, reflecting a sharp drop to the world’s second-biggest crypto by market cap. Looking at Ether’s bigger picture, it’s down 47% from last year’s value.

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If we go by the latest analyses and observations from commentators, Ether’s price correction will likely be extended. The altcoin is facing a huge bearish wave, with plenty of market factors undermining its price performance.

One significant factor is Standard Chartered’s recent decision to cut its price prediction by 60%, confirming market expectations.

News: Standard Chartered slashes ETH price target!

The bank cuts its 2025 ETH forecast from $10K to $4K, blaming Layer-2 networks like Base, which they say has drained $50B from Ethereum’s market value.#Ethereum #ETH #Crypto #Layer2 #Base #Blockchain

— Andres Meneses (@andreswifitv) March 17, 2025

Ethereum Faces A Descending Channel

Ethereum is currently in a price slump, and many experts expect a much deeper dive in the next few weeks. Ether’s price is currently floating above the $1,900 level as it continues its bearish price movements.

Analysts use the MACD indicator to verify and confirm the asset’s bearish sentiment. Also, the asset’s moving averages suggest a neutral trend and possible price consolidation.

Ethereum (ETH) remains in the correction zone today, trading around $1,874. The price continues to move in a descending channel, indicating a possible continuation of consolidation. Moving averages confirm the neutral trend: the price is holding below the 50-day and 200-day MA,… pic.twitter.com/R3vNqFBDkZ

— LVelarde (@0xvelarde) March 17, 2025

According to a crypto user named “LVelarde,” Ether’s price continues to follow the descending channel, suggesting price consolidation. The asset’s price is consolidating below its 5-day and 200-day moving averages, with traders looking for possible rejection or breakout. Since it fell below $2k, sentiments have been generally bearish, with many questioning its future price trends.

Standard Chartered Cuts Price Estimates For Ethereum

Even some of the biggest banks, like Standard Chartered Bank, are lowering their expectations of Ethereum. From a high of $10,000, the bank is reducing its price target to just $4,000, explaining that the Layer 2s are impacting its bottom line.

The bank added that changes and improvements to the blockchain affected its overall value, like its shift to the proof-of-stake and scaling roadmap.

Standard Chartered used Coinbase’s Base Layer 2 as an example, suggesting that the project has cost Ethereum $50 billion from its market cap. According to Geoff Kendrick, Standard Chartered analyst, Ethereum’s losses will continue as Base’s dominance in the industry continues.

Kendrick calls this the blockchain’s “midlife crisis”, adding that Ethereum’s chain has become a commodity with its Layer 2 framework.

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Things Ethereum Can Do To Address Its Slide

According to Kendrick, Ethereum can address its downturn in two ways. First, it can leverage its security-based dominance in the context of the tokenization of real-world assets (RWA). If Ethereum focuses on security, it can maintain its 80% market share.

Second, it can charge taxes for its Layer 2s, but it’s highly unlikely. Kendrick expects Ethereum to continue its underperformance in the short term.

Featured image from Bloomberg, chart from TradingView