TLDR
- ETH struggled below $1,900 after $2B worth of options expired last Friday
- Recent liquidations approached $100 million as leverage hit all-time high
- An Ethereum early adopter sold 2,001 ETH for $3.82 million, securing an $8.66 million profit
- ETH is now facing key resistance near $1,920 level with bullish trend line forming
- Reports suggest wallets linked to hackers may have dumped ETH during market weakness
Ethereum, the second-largest cryptocurrency by market cap, has been grappling with a series of challenges recently, primarily struggling to maintain stability above the $1,900 mark. Various factors have contributed to its volatile price action, including a significant options expiry, heightened leverage, and influential selling pressure, particularly from early investors and possible malicious actors in the crypto space.
A pivotal event unfolded last Friday when approximately $2.13 billion worth of ETH options expired. These monthly expiries are crucial in the crypto markets, and this particular one involved a staggering 301,000 ETH coins, valued at around $574.3 million based on current market rates. The options data indicated a call-put ratio of 0.39 — traditionally viewed as bullish. However, the market behaved unexpectedly, indicating uncertainty possibly linked to the options expiry’s influence.
BREAKING:
AN ETHEREUM OG SOLD HIS LAST 2,001 $ETH FOR $3.82M.
HE MADE $8.66M PROFIT BUT MISSED A $23M PEAK.
IT’S TIME FOR THE NEW WHALES TO TAKE OVER! pic.twitter.com/ueJF8wvtZO
— Crypto Rover (@rovercrc) April 2, 2025
Price Movement and Technical Indicators
In the days following the options expiry, ETH’s price dropped below the $1,900 support level, which had previously been a reliable barrier against downside movements. At the time of writing, ETH was trading at approximately $1,824.39, reflecting a decline of 0.94% over the day. The cryptocurrency had shown signs of a potential bullish recovery just before this downturn, likely encouraging many traders to leverage their positions in anticipation of a rally.
Despite the drop in price, an alarming trend emerged as ETH’s estimated leverage ratio reached unprecedented highs this week. This surge in leverage heightened the vulnerability of the market to liquidation events, with around $97.85 million worth of long positions being liquidated in a single day.
However, recent price moves indicate a potential recovery. ETH has managed to climb back above $1,850, currently trading above the 100-hourly Simple Moving Average. The formation of a bullish trend line delivers an optimistic outlook, with immediate support noted at $1,860 on the hourly chart.
Potential Hacker Activity
Additional complexity surrounds ETH’s recent price movements with reports suggesting potential involvement from hackers capitalizing on market weakness. According to data from Looksonchain, two newly identified wallets received a total of 14,064 ETH, believed to have originated from Chainflip and Thorchain, before being rapidly liquidated.
Hackers are dumping $ETH!
2 new wallets(likely related to hackers) received 14,064 $ETH from #THORChain and #Chainflip, then dumped for 27.5M $DAI at an average selling price of $1,956.https://t.co/hSP1PRGpuLhttps://t.co/6axvL6d7Dg pic.twitter.com/7RoYCGMdWD
— Lookonchain (@lookonchain) March 28, 2025
These wallets subsequently sold the ETH at an average price of $1,956, garnering approximately $26.87 million in DAI stablecoin. While some analysts believe this may have been a coordinated attack by hackers, others suspect it could represent market manipulation—aimed at creating fear, uncertainty, and doubt (FUD) within the community.
The selling pressure is now beginning to show signs of moderation above the $1,900 mark, suggesting a potential for recovery if demand picks up in this lower price range.
As Ethereum navigates these turbulent waters, it faces critical resistance levels. The first significant hurdle lies near the $1,920 mark, aligning with the 61.8% Fibonacci retracement level of the recent downward trend from $2,032 to $1,767.
If Ethereum overcomes the $1,920 resistance, it could then aim for $1,970 and possibly target $2,020 thereafter. Further breaking through this level might allow ETH to rise toward the ranges of $2,050 or even $2,120 in the near term.
However, should ETH fail to breach the $1,920 resistance, the potential for decline looms large. The initial support level stands near $1,860, alongside the trend line, with major support established at $1,845. A further downturn could see ETH dropping to $1,800 or even lower to $1,765.
