Ethereum Price Tanks 9% to $1,888—Analysts Warn of a Potential $400 Crash
Ethereum price plunged 9% to $1,888 on Mar. 11, deepening its ongoing sell-off. Analysts warn that if key support levels fail, ETH could drop as low as $400. Ethereum Plunges Below $1,900 Amid Market Turmoil Ethereum price extended its losses on Mar. 11, falling 9% to $1,888. The second-largest cryptocurrency has now dropped over 30% in a month and 50% over the last three months, raising concerns about a deeper market downturn. Ali Martinez, a crypto analyst, warned that Ethereum is breaking below a critical trendline, potentially leading to a drop as low as $1,250 if selling pressure continues. Ethereum Drops Near Realized Price Amid Market Weakness. Source: Ali Martinez/XAdding to the bearish outlook, analyst Ali Charts highlighted that Ethereum is now testing the Realized Price at $2,060 based on MVRV Pricing Bands. If ETH fails to hold this level, the next major support could sit at $1,440, placing additional downside pressure on the asset. The broader crypto market is experiencing heightened volatility, with total liquidations reaching $246 million in the past 24 hours, according to Coinglass. Analysts Predict Ethereum Could Crash to $400 Quit, vice president of blockchain at Yuga Labs, painted an even darker scenario for Ethereum. In a Mar. 11 post on X, he questioned whether ETH’s downturn was only beginning, warning that a true bear market could result in an 80–90% drawdown, potentially pushing ETH to a range of $200–$400. While many traders see $1,500 as a strong support level, Quit argued that historical trends suggest otherwise. “If this is a full-scale bear market, ETH has much further to fall,” he wrote. Martinez’s analysis supports this outlook, noting that ETH is breaking down from a parallel channel pattern. If momentum sustains, he sees a move toward $1,250 as a real possibility. Ethereum Whales Move Funds, Raising Selling Pressure Concerns On-chain data suggests that large investors are adjusting their strategies. Lookonchain flagged a major Ethereum Foundation transaction involving 30,098 ETH (~$56.08 million) being deposited into MakerDAO to lower its liquidation price. The foundation’s wallet now holds 100,394 ETH ($182 million) on Maker, with a liquidation threshold of $1,127. Source: Lookonchain/X At the same time, an early Ethereum ICO whale transferred 7,000 ETH (~$12.94 million) to Kraken, a move often interpreted as a sign of impending sell pressure. These transactions indicate that large holders are either preparing for lower prices or securing their positions amid the uncertainty. Further, DefiLlama data shows that around $366 million in DeFi loans could face liquidation if ETH drops another 20%, adding additional risks to the current sell-off. Ethereum Faces Stiff Competition, Declining Network Activity Data from SoSoValue indicates that spot Ethereum exchange-traded funds (ETFs) have seen net outflows of $278.55 million over the past week, suggesting weakening institutional demand. Bitcoin ETFs See $278M Outflows as Market Weakens. Source: SoSoValue The absence of staking incentives in these ETFs makes them less attractive compared to decentralized finance (DeFi) yields of around 4.5%. Meanwhile, cheaper and faster blockchains, such as Berachain and Hyperliquid, are eating into Ethereum’s DeFi dominance, attracting billions in total value locked. Will Ethereum Price Recover or Slide Further? Ethereum’s ability to reclaim its previous support at $2,600 remains uncertain. Bulls need to push ETH above $2,523 to regain momentum, according to analyst Junaid Dar. Source: Junaid Dar/X With whales adjusting their positions, DeFi liquidations looming, and bearish projections mounting, traders must prepare for all scenarios. If the market fails to stabilize, Ethereum price could see further downside, with the $1,500 and $1,250 levels as key areas to watch.