Buterin Sells Again! Ethereum at Risk of Falling Below $1,800 Amid Spot ETF Outflows

▲ Ethereum (ETH) Decline / AI-Generated Image ©

As macroeconomic uncertainty combines with heavy institutional selling, Ethereum (ETH) has slumped into the $1,800 range, with continued selling by its founder further intensifying downward pressure in the market.

According to CoinMarketCap on February 23 (local time), Ethereum plunged 5.72% over the past 24 hours to $1,863.03. This decline shows a strong correlation with Bitcoin (BTC), which fell 5.06%, reflecting the broader risk-off sentiment weighing on the overall cryptocurrency market.

A key driver behind the sharp drop is the outflow of $315.9 million from U.S. spot Bitcoin exchange-traded funds (ETFs) this week alone, signaling institutional capital flight. Heightened global tariff tensions have added further macroeconomic uncertainty, dealing a direct blow to high-beta risk assets such as Ethereum.

Internal headwinds have also dampened investor sentiment. Ethereum co-founder Vitalik Buterin sold an additional 428.57 ETH worth approximately $850,178 through a decentralized exchange (DEX) on February 22 for charitable purposes. From a technical standpoint, the breakdown of key support between $1,950 and $2,000 triggered a wave of cascading stop-loss orders.

Ethereum is currently trading below its 7-day simple moving average (SMA) of $1,970, indicating a clear bearish structure. Although the 14-day Relative Strength Index (RSI) stands at 34.4, signaling oversold conditions, no clear signs of a rebound have emerged. If Bitcoin manages to hold the $64,000 level, Ethereum could attempt a relief rally toward $1,958. However, if the $1,800–$1,850 support zone gives way, the risk of a further سقوط toward $1,600 becomes highly probable.

Ultimately, Ethereum’s short-term trajectory hinges on the return of institutional demand. Reclaiming the $1,950 level on a daily closing basis is critical to escaping near-term bearish pressure. Market participants are closely watching whether spot Bitcoin ETF flows turn positive within the next 48 hours, potentially providing a defensive shield for the broader altcoin market.

Disclaimer: This article is for investment reference only and we are not responsible for any losses arising from investment decisions based on it. The content should be interpreted for informational purposes only.