Key Highlights
- Ethereum fell below $1,800, dropping to around $1,714 and hitting its lowest level since April 2025.
- About $408 million in liquidations hit traders, with long positions taking the biggest loss.
- ETF outflows and high leverage funding rates are adding more pressure, increasing the risk of further downside.
Ethereum (ETH), the second-largest cryptocurrency by market cap, slid below the key $1,800 level on Thursday after an overall market selloff pushed the asset to its lowest price since April 2025.
As of the time of writing, ETH is trading for $1,785, down about 10% in over a week, down from a weekly high of above $2,000.
Meanwhile, trading activity as of today is up by a modest 15% over the last 24 hours, with the trading volume holding steady at $31.2 billion.
Ethereum ETFs see $52 million in outflows
Institutional investors also seem to be adding more pressure to the market. According to data from SosoValue data, approximately $52 million left the Ethereum ETF market on June 3, bringing total outflows over the past month to about $187 million.
In fact, the market has not recorded any significant inflows since early last month. This new outflow was led by BlackRock, which took out about $51 million on its own.
$408 million liquidated in 24 hours
The decline also triggered a major liquidation event. Data from Coinglass shows that about $408 million was wiped out from the market as positions were forced to close.
More than 25,758 traders were affected globally. Traders who had bet on the price going up suffered the largest losses, accounting for approximately $343 million of total liquidations, while short traders recorded about $65 million in losses.
Derivatives signal risky long bets
At the same time, derivatives data is showing a different type of pressure building. According to a recent report on Cryptoquant, Ethereum’s funding rate on Binance has climbed to about 0.0087, its highest level since the start of 2026.
This means more traders are opening long positions using leverage, expecting a bounce despite falling prices. However, this kind of setup often creates risk when the market is still weak.
High funding rates usually appear when traders become overly confident after sharp drops. In this case, many are betting on a recovery even while Bitcoin and the wider crypto market remain under pressure. If prices continue to fall instead of rebounding, these crowded long positions can face forced liquidations, adding more volatility to the market.
Ethereum risk of dropping to $1,400
Looking at the daily price chart, Ethereum remains under pressure. The price initially fell to a low of $1,714 earlier today before rebounding. However, it is now trading below its 100-hour moving average and heading to the $1,500 support level, which it last traded in April 2025.
At the same time, the Relative Strength Index (RSI) shows that the price recently reached an oversold level at below 15 before the rebound. But the current price chart shows the possibility that the price could still enter the level again if buyers fail to take over the market.
Also Read: ENA Surges 22% in 24 Hours as Ethena’s Institutional Push Drives 414% Volume Spike
