Ethereum Price Dives Below $2,000 as US NFP Tilts Markets Bearish

: Ethereum Faces Heavy Losses Amid Economic Uncertainty

Ethereum (ETH) experienced significant losses over the weekend as the highly anticipated White House Summit failed to lift market sentiment. Instead, the latest US Non-Farm Payroll (NFP) report dominated investor outlook, highlighting rising unemployment and increasing inflation pressures. These macroeconomic concerns have intensified fears of prolonged Federal Reserve tightening, leading to a sharp sell-off in the crypto market.

As a result, ETH tumbled below the psychological $2,000 level, hitting a low of $1,998 on Binance on March 9. This marked an 8% daily decline, surpassing Bitcoin’s 4% losses within the same timeframe and signaling stronger bearish momentum in ETH spot markets.

Ethereum Price Action and Market Sentiment

The selling pressure on Ethereum has been exacerbated by macroeconomic factors, including the possibility of further Federal Reserve rate hikes to combat inflation. With investors now closely monitoring the upcoming Consumer Price Index (CPI) report, ETH could struggle to gain meaningful traction unless broader market conditions shift favorably.

• ETH Price Decline: The drop below $2,000 triggered increased sell-offs, with Ethereum underperforming compared to Bitcoin.
• Market Outlook: Investors remain cautious amid rising inflation concerns and economic uncertainty.
• Key Support Levels: If ETH fails to reclaim $2,000 soon, further downside toward $1,850 could be imminent.

Institutional Outflows: BlackRock Leads ETH ETF Sell-Off

Massive Capital Flight from Ethereum ETFs

Amid rising unemployment and inflation triggers, institutional investors are reallocating capital away from crypto markets toward fixed-income securities, driving bond yields higher across global markets. This shift in sentiment has resulted in significant outflows from Ethereum ETFs.

According to on-chain analytics provider SosoValue, Ethereum ETFs recorded $23 million in outflows on Friday, the same day the US NFP report was released. Among the largest liquidations, BlackRock’s iShares Ethereum ETF saw an $11 million capital flight, marking the highest single-day outflow among Ethereum-focused funds.

What This Means for Ethereum’s Price

• Institutional investors exiting Ethereum ETFs suggests a weakening confidence in short-term recovery.
• If ETF outflows persist, ETH price could struggle to break above key resistance levels.
• The shift toward fixed-income securities signals that traditional investors are favoring safer assets amid macroeconomic uncertainty.

Ethereum Price Forecast: Death Cross Pattern Signals Deeper Decline Toward $1,850

Ethereum price forecast signals have turned decisively bearish, with ETH plunging 8.3% on March 9 to test support near $2,000. The daily chart reveals a concerning technical setup, as ETH struggles below key moving averages. The emergence of a confirmed Death Cross pattern—where the short-term 50-day EMA crosses below the long-term 200-day EMA—indicates prolonged downside risks.

• Critical Support: If ETH closes below $2,000, selling pressure could accelerate, targeting $1,850, where historical demand has previously stabilized declines.
• Resistance Levels: The immediate resistance remains at $2,100, with a stronger barrier at $2,200.
• Technical Indicators: RSI hovering near oversold levels suggests a possible short-term bounce, but overall sentiment remains bearish.

: Ethereum’s Path Forward in a Bearish Market

Ethereum’s price is under intense pressure following the latest economic data and institutional outflows. With ETH slipping below $2,000 and struggling against key resistance levels, the short-term outlook remains bearish. Market participants are now watching for signs of stability around the $1,850 support zone, while a potential recovery would require a decisive move above $2,100.

For now, macroeconomic factors continue to weigh heavily on Ethereum’s trajectory. The upcoming CPI report and Federal Reserve policy decisions will likely play a crucial role in determining whether ETH can regain bullish momentum or continue its descent toward lower price levels.