Ethereum slipped to its lowest level in nearly two months, marking a sharp reversal after a steady build-up of weeks and a new all-time high.
According to Encryption Data, ETH fell to $3,993 for a short time on September 25th before recovering slightly to trade around $4,030 at press. The decline reflects a daily 4% decline, closing the turbulent week when assets poured almost 13% of their value.
This latest move deepens Ethereum’s month-long slide. ETH lost about 10% in September and is now 18.44% below its recent record high of $4,946.
Price performance is not entirely surprising, as analysts warned that Ethereum appears to be increasingly vulnerable despite recent gatherings.
Timothy Misir, BRN’s research director, said Encryption Unless ETH could regain the accumulation band that promoted climbing to $4,650, the tokens risked falling into a “psychological and technical gap.”
That forecast currently combines price action slightly above the $4,000 support level.
Meanwhile, the latest selloffs have caused painful liquidation across leveraged positions.
Coinglass data shows that Ethereum traders who infer digital asset prices have lost more than $183 million to price volatility in the last 24 hours.
Additionally, blockchain analytics firm LookonChain reported that a trader with Wallet 0xA523 had his 9,152 ETH (valued by $36.4 million) long position was wiped out after the price fell below $4,000. The losses added to his previous liquidation, leaving just $500,000 from a portfolio that once exceeded $45 million.
The accumulation of whales and systems is continuing
However, while some traders face sudden losses, others have seized the opportunity to buy.
Lookonchain has focused on 11 wallets that have accumulated 295,861 ETH for $1.19 billion from major exchanges and OTC desks, including Kraken, Galaxy Digital, Bitgo and Falconx.
Separately, ETH has continued to record important institutional accumulation over the past few months.
Strategic ETH Reserve data shows that the corporate Treasury expanded its ETH position from just $2 billion in July to more than $21 billion in September, making ETH the fastest growing Treasury asset.
This trend reflects on the continued whale and institutional trust in Ethereum’s long-term trajectory, despite the weaker hand shaking of short-term volatility.