Ethereum Crashes 20% Amid Market Turmoil

Ethereum has experienced a major sell-off, plunging nearly 20% in the past 24 hours, marking one of its steepest declines in years.

📉 ETH is now trading around $2,500, after losing critical support at $3,000.

The sudden drop follows President Trump’s announcement of new 25% tariffs on Canada, Mexico, and China, triggering broader financial market uncertainty.

Given crypto’s correlation with traditional markets, Ethereum and other digital assets have followed suit, entering a sharp downward spiral.

Panic Selling & Liquidations Accelerate the Crash

According to Coinglass data, whales have been offloading large Ethereum holdings, triggering a cascading wave of liquidations.

💥 Crypto trader MaxBecauseBTC told his 66K followers on X that this is the biggest Ethereum liquidation event in over two years, comparing it to the March 2020 COVID crash.

“Those that stick around will be rewarded.”

💥 Felix Hartmann, founder of Hartmann Capital, remains optimistic, calling it “forced selling” that has caused Ethereum’s price to become dislocated.

“The prices may be dislocated, but long-term investors will benefit from the shakeout.”

What’s Next for Ethereum?

The critical question now is whether Ethereum can recover from this sharp drop.

🔍 Key support levels to watch:

• $2,400: A psychological level that could provide temporary relief.
• $2,000: The next major downside risk if selling pressure continues.

📊 Market analysts believe that Ethereum’s long-term fundamentals remain strong, but short-term volatility is expected to persist.

With increased regulatory uncertainty and macroeconomic pressures, traders should brace for further turbulence in the crypto market.

Final Thoughts

Ethereum’s 20% crash highlights the ongoing fragility of crypto markets, especially in the face of macroeconomic shocks and large liquidations.

While whales are panic-selling, some traders believe this is a buying opportunity for those who can weather the storm.

The next few days will be crucial in determining whether Ethereum stabilizes or continues its decline toward lower support levels.