Ethereum (ETH) Price Sinks Below $2,400 Amid February Market Uncertainty
Ethereum is facing its worst February in years, with prices plummeting as low as 25% amid mounting uncertainty.
The cryptocurrency dumped to a multi-week low of just over $2,300 hours ago before staging a minor recovery.
A Red February
According to Spot on Chain, February is usually a bullish month for ETH, with only one red example in 2018. However, this year seems to be an exception.
Macroeconomic factors, including new tariffs from U.S. President Donald Trump, are contributing to the instability. They have raised fears of a tighter global economic climate while also putting traditional markets under pressure. This has, in turn, impacted risk assets like crypto, pushing ETH into a sub-$2,400 level.
A recent security breach on the Bybit exchange that resulted in the theft of $1.4 billion in crypto (mostly ETH) also contributed to market instability. In the immediate aftermath of the hack, ETH lost 7% of its value. Since then, the exchange has restored its reserves by securing 446,870 ETH through whale deposits, loans, and direct purchases.
The company’s CEO, Ben Zhou, confirmed that it has fully recovered losses and is preparing an audited proof-of-reserves report to reassure users. However, this has done little to invigorate ETH, with the cryptocurrency struggling to break above $2,800, indicating persistent bearish pressure.
ETH Down 14% in 24 Hours
Earlier today, ETH dumped to $2,310 before recovering some ground to almost $2,400. Furthermore, the asset has failed to maintain key support levels in the last seven days, sparking concern about further declines.
Looking at its monthly performance, ETH started February at $3,217 but has since lost more than $800 in value. Over the week, it fell 7.3%, amplifying bearish sentiment. Its 24-hour movement has not been much better, shaving off more than 14% of its daily high of $2,733 to its current price, per data from CoinGecko.
Analysts have warned that with the altcoin failing to hold $2,400, its next major support lies at $2,250, potentially opening the door for further losses.
Ethereum’s woes aren’t isolated. Bitcoin, the number one cryptocurrency by market capitalization, has also struggled, dropping below $90,000 despite Strategy (formerly MicroStrategy) recently buying a whopping $1.99 billion worth of the cryptocurrency.
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