Market analysts warn that Ether’s price could plunge toward $1,000 if a critical bearish chart pattern breaks. A confirmed breakdown from a bear flag pattern at the $2,000 support level could trigger a 50% drop, targeting $1,075. This move risks liquidating over $1.7 billion in leveraged long positions. Meanwhile, data shows major Ethereum holders, or whales, are reducing their exposure, weakening accumulation signals and suggesting ongoing distribution.
Market analysts say Ether’s price may drop to $1,000 if a breakdown from a bearish chart pattern is confirmed. A bear flag pattern, a bearish continuation setup, targets a 49% drop to $1,075 if the price breaks below the lower trend line at $2,000.
Analyst Coin Signals stated that if Ether fails to hold above $2,000, a sell-off to $1,800 or a new low would follow. Fellow analyst Keith Alan told followers to be prepared for a nasty scenario involving a confirmed death cross and bear flag.
Alan said momentum indicators show deterioration on daily and weekly RSI timeframes. “Failure to establish support, however, opens the door to a sequence of progressively lower technical support levels” toward the bear flag target around $1,300, he added.
Analyst Crypto Patel said Ethereum’s validation of a rising wedge pattern was underway, with a downside target of $1,500. Patel noted, “Ethereum has lost a key rising trendline. As long as the price stays below it, weakness can continue.”
Data from CoinGlass shows a correction below $2,000 would trigger over $1.70 billion worth of leveraged long Ether liquidations across all exchanges. Meanwhile, Glassnode data indicates Ether’s latest rebound did not trigger broad-based accumulation among major wallets.
The number of mega-whale wallets holding more than 10,000 Ether has declined sharply to a 10-month low of 1,050. Wallets holding 1,000 to 10,000 Ether have also fallen to a nine-month low of 4,750, suggesting ongoing distribution.
Taken together, the data reflect a lack of mid-term confidence and weak conviction across key holder cohorts. This reduction aligns with recent inflows into exchanges, indicating the path of least resistance remains down.
