Will Ethereum crash again? 2 Major Warning Signs You Can’t Ignore

ETH Struggles Below $3,000 – Is Another Pullback Coming?

Since then, the trend has been the exact opposite, with the price falling almost 50%, reaching a low of $2,600 in late November. Despite a few price increases above $3,000, it has failed to decisively regain that level and now sits several inches below it. But there are even more warning signs for future price developments.

Investors selling

Data shared by Ali Martinez shows that Ethereum whales have offloaded $360 million worth of ETH in the past week alone. Their total holdings have fallen from over 5.73 million tokens since the run-up in early October to 5.61 million at the time of writing.

$360 million in Ethereum $ETH sold by whales in just one week! pic.twitter.com/wUNcGoJi5r

— Ali Charts (@alicharts) December 20, 2025

Another concerning trend on the sell side is the recent behavior of investors using spot Ethereum ETFs to gain exposure to the asset. Farside data paints a clear picture, as the funds have been in the red for seven consecutive trading days since December 11. They’ve lost nearly $650 million in the past week alone, and more than $700 million since December 11.

Total net inflows into ETH-based exchange-traded funds topped $15 billion at the start of October, but have fallen to less than $12.5 billion as of Friday’s close.

The downside

In contrast to the aforementioned selloff by several cohorts of investors, on-chain data suggests retail is returning. Santiment presented evidence that the number of newly created ETH addresses has seen some impressive spikes to well above 190,000 per day in December, a level even higher than that of July, just before the underlying asset started to gain popularity.

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Furthermore, some analysts, such as Merlijn The Trader, believe that ETH could be on the verge of a breakout. He compared the current setup to the parabolic rally of 2015-2018 in terms of accumulation that could open the door for a triple-digit price appreciation against BTC.

“This Ethereum movement will catch everyone off guard,” he concluded.