ETH falls below the key support level of 2800, dropping nearly 16% in 7 days

According to the latest news, ETH has broken below the key support level of 2800 USDT, with the current price at 2799.36 USDT. This is not only a technical breakout but also reflects the sustained selling pressure Ethereum has faced recently. From multiple timeframes, ETH’s decline is widening, and market volatility has significantly increased.

Price Trend Overview

Data shows that ETH’s downward momentum has been concentrated over the past 7 days, indicating that the selling pressure in the last week has been notably stronger than before. The 0.85% decline in the 1-hour timeframe suggests that the current downtrend is still ongoing, with insufficient short-term rebound momentum.

Market Background Analysis

Trading Volume Anomaly

The 24-hour trading volume reached $1.648 billion, a 74.22% increase from the previous day. A significant rise in trading volume usually accompanies directional selling, indicating that market participants have a strong consensus on this wave of decline.

Market Cap and Rank Remain Stable

Despite the price drop, ETH’s market cap remains at $33.971 billion, with a market share of 11.64%, maintaining its position as the second-largest by market cap. This suggests that although there is selling pressure, the market’s fundamental confidence in Ethereum remains intact; the decline is more of a technical adjustment rather than a crisis of confidence.

Supply Characteristics

ETH currently has a circulating supply of 120,694,435 tokens, which are part of an unlimited supply token model. This supply mechanism implies ongoing long-term inflationary pressure on ETH, potentially exerting continuous structural downward pressure on the price.

Key Observations

The 2800 USDT level holds some technical significance for ETH. Based on the current price of 2799.36 USDT, breaking below this level seems inevitable. The key question moving forward is whether this will trigger a larger-scale stop-loss cascade or if it will merely be a short-term correction.

With a 7-day decline of 15.87%, the market has entered a relatively clear adjustment cycle. However, considering the relatively stable market cap rank and trading volume, this appears more like a technical retracement rather than a fundamental collapse.

Summary

ETH breaking below 2800 USDT indicates a deepening of the recent correction, with a 15.87% decline over 7 days worth noting. However, from the perspectives of market cap rank, trading volume growth, and market share, this is more of a technical adjustment rather than a sign of crisis. It remains to be seen whether the 2800 USDT level will serve as support and whether the price will further test lower levels. For market participants, paying attention to the performance around this key level and whether trading volume can sustain current levels will be crucial for judging the next trend.