Ethereum Endures Historic Liquidation Week, Faces Continued Pressure Below $2,000

A CryptoQuant-backed analysis flagged what it called the largest sustained liquidation phase for Ethereum since 2021, as ETH remains below the psychological $2,000 level and volatility stays elevated while traders await a clear directional catalyst ^[1].

Exchange flow data show Ethereum reserves on Binance continuing to decline, indicating withdrawals from the exchange even as price slides; at the time of reporting ETH traded near $1,900 with momentum fading and moving averages showing bearish pressure ^[2][4].

Technical commentary describes a weak recovery attempt with price rejecting key levels and leaving higher-timeframe risk intact; analysts highlight consolidation around the current range and the potential for further downside if key support zones fail ^[3][4].

Some market observers frame the range-bound action as a dip-buying setup, while other coverage notes institutional activity such as BlackRock’s BUIDL allocation but emphasizes that price remains under pressure despite such flows ^[5][6].

Market participants are watching liquidity metrics and exchange balances closely for signs of a durable shift; reporting indicates significant liquidation activity alongside declining exchange reserves, but no clear catalyst has yet reversed the near-term bearish structure ^[1][2].