ether($ETH) Price rose more than 5.6% to $2,275 after rejecting resistance at $2,400. Now, multiple data points suggest that $ETH/USD could fall below $2,000.
Important points:
- A drop in network activity indicates lower usage and reduced on-chain demand. $ETH.
- Coinbase premium remains negative as Spot Ethereum ETF outflows have returned, reflecting strong US-led selling pressure.
- Ether’s falling wedge pattern is targeting $1,830.
Ether lock total hits 12-month low
Ethereum network fundamentals have weakened, with average weekly transactions down 10% to 4.79 million, according to Nansen data. During the same period, active addresses decreased by 8% to 2.5 million.
Related: Three reasons why Ether price growth is sluggish around $2.4 million
Network fees also fell by about 27%, with on-chain revenue down 47% over the past seven days.
Blockchain comparison: daily transactions, active addresses, and network fees. Source: Nansen
Additional data from DefiLlama show On May 8, weekly DEX trading volume decreased to $1.64 billion, a 46% decrease over the past three weeks.
The decrease in the number of transactions, the decrease in active addresses, and the decrease in DEX volume reflect the decrease in usage of the ecosystem. As a result, the total value locked (TVL) on Ethereum’s DeFi protocol decreased to $124.7 billion, a level last seen in May 2025.
Total value locked on Ethereum. Source: Defilama
This subdued network activity indicates weak user confidence, impacting Ether’s ability to maintain upward price momentum.
Ether exit queue spikes by 72,000%
Ethereum’s unstaking queue has increased by approximately 72,000% in two weeks to 530,985 $ETH May 2nd.
More than 202,000 people as of Friday $ETH I had to wait in line to redeem and the wait was about 3 days.
Number of Ether waiting to finish. Source: Validator Queue
This surge comes after a series of significant DeFi hacks and reflects investor caution. In April 2026, DeFi platforms suffered record losses $625 million in losses per month Following 30 separate attacks, KelpDAO Bridge Hack Loses $292 Millionleading to over $15 billion in deposits withdrawn from Aave platform.
These incidents prompted investors to cancel their bets $ETH Restore liquidity and demonstrate escape from perceived risk.
“The exit line was up to 700 people.” $ETH ~500K $ETH Within two weeks,” analyst Pete said. said I added the following to a recent post about X:
“DeFi yields on Ethereum are being crushed by hacks, exploits, and an increasingly nasty attack surface.”
3.6 million people despite a sudden increase in outflow pressure $ETH Remains in queue for staking entries (7x exit volume), boosting total staking $ETH Despite the 45-day waiting period, it reached 38.6 million people (31.72% of supply).
Ether’s Coinbase premium remains negative
The Ethereum Coinbase Premium Index tracks the price difference between: $ETH Coinbase and Binance have been negative since April 27th.
The negative premium confirms that selling pressure is largely coming from US companies. As long as U.S. investors continue to sell at a discount to global markets, the decline is likely to accelerate.
Ethereum Coinbase Premium Index. Source: CryptoQuant
Additionally, the US-based Spot Ethereum ETF recorded net outflows of $103 million on Thursday, ending a four-day streak of inflows and marking the largest outflow since mid-March.
Spot Ethereum ETF flowchart. Source: SoSoValue
combine with more than $81.6 million outflow Last week, stock gains from global Ethereum investment products signaled selling by institutional investors, adding to the headwinds for Ether.
meanwhile, $ETH In recent days, taker buys on Binance have declined to -$25 million, indicating a “sharp increase in aggressive sell orders in the market,” said CryptoQuant analyst Boris D. said Friday’s quicktake notes added:
“This structure increases the risk of short-term volatility and retesting of support. $ETH price action. ”
$ETH Takers buy volume on Binance. Source: CryptoQuant
Ether Rising Wedge Breakdown Underway
What you can see on the daily chart is that $ETHThe /USD pair is validating an ascending wedge pattern after price lost support at $2,300, the lower trendline of the pattern.
Bulls are currently struggling to keep the price above the 100-day and 50-week simple moving averages (SMAs) of $2,150-$2,200, respectively.
Another important line of defense is the psychological level at $2,000, a break through which would pave the way for Ether to fall towards the measured target of the $1,830 wedge, which is about 20% below the current price.
$ETH/USD daily chart. Source: Cointelegraph/TradingView
as cointelegraph reported, $ETH If the $2,300 support is not recovered in the short term, the price could fall to $1,750-$1,850.
This article was created in accordance with Cointelegraph’s editorial policies and is for informational purposes only. It does not constitute investment advice or recommendations. All investments and trading involve risk. Readers are encouraged to do their own research.
