Ethereum Price Plunges 21% in a Month: Is Now the Time to Buy Before a Massive Rebound?

In the latest Ethereum news, the price is closing in on a vital demand zone. This zone has signaled Ethereum price bottoms in the past, sparking speculation of a potential rebound soon. The cryptocurrency has already suffered a 21% decline over the last month. However, Ethereum analysis suggests that this downturn may present a highly profitable opportunity to investors.

On-Chain Metrics Suggest Ethereum Bottom

Crypto analyst Ali Martinez shared his Ethereum analysis in a post on the social media platform X. He showed the token’s approach to the -1 standard deviation pricing band based on the Market Value to Realized Value (MVRV) Extreme Deviation Pricing Bands. According to Martinez, this zone, currently around $1,387, has marked local bottoms for Ethereum in the past. For context, MVRV Bands measure how far an asset’s market price deviates from its realized price. Thus, this indicator identifies overvalued or undervalued conditions. 

#Ethereum $ETH is nearing a critical zone that has historically marked market bottoms and offered strong buying opportunities. pic.twitter.com/gZ4Tjrtqp0

— Ali (@ali_charts) April 10, 2025

Martinez noted that ETH’s realized price is currently around $2,005. This suggests a massive undervaluation. He further observed that ETH’s realized price is currently around $2,005. This suggests a massive undervaluation. Supporting this view, fellow analyst TraderPA also said that Ethereum is currently going through oversold conditions based on the Stochastic Relative Strength Index. “The low Stochastic RSI indicates a potential relief rally,” TraderPA shared in a recent post. This momentum indicator, which ranges between 0 and 1, suggests that ETH may see some positive Ethereum news in the near future. 

#Ethereum $ETH is nearing a critical zone that has historically marked market bottoms and offered strong buying opportunities. pic.twitter.com/gZ4Tjrtqp0

— Ali (@ali_charts) April 10, 2025

Ethereum Whale Activity: A Point of Concern

Despite repeated bullish signals from statistics, recent Ethereum whale activity paints a concerning picture. A few days ago, a dormant Ethereum whale, holding since 2016, sold off 10,702 ETH during the recent market crash. This signals declining investor confidence. Adding to this uncertainty, Martinez warned that the price could face further downward pressure. This could lead to a drop to $1,200 if key supports falter. Given the precarious situation, let us take a look at the Ethereum analysis of the past 24 hours ourselves to form a short-term prediction.

Ethereum Price Analysis: Ethereum Falters After Impressive Recovery Phase

Ethereum started the day at $1664. Trading started with a stable downtrend, thanks to the late death cross on the previous day. The coin dipped to find support at $1,603 by 3:00 UTC. However, the bearish pressure continued to dominate price action despite the oversold market conditions. At 7:30 UTC, Ethereum abandoned the support and fell slightly to $1,586. Until afternoon, the Ethereum price continued to consolidate around that support level. Any positive movements met strong reversals that brought it back to the support. Around 14:40, as ETH tested the $1,583 resistance, a massive death cross formed on the MACD.

Chart 1: published on TradingView, April 11, 2025

Subsequently, Ethereum tumbled to the $1,480 support, a massive price drop within two hours. With the market now heavily oversold, a golden cross appeared at 16:25, and Ethereum went on an extended uptrend. The coin ascended to $1,530 by 22:50. The price stabilized around that mark, and another slight uptrend followed, this time leading ETH to 15:50 UTC. The Ethereum price has since fluctuated around the $1,550 mark.

ETH Price Prediction: $1,600 A Key Level to Watch

With the $1,580 resistance still in place, Ethereum is going to have a field day getting back to the $1,600 level. For now, Ethereum looks poised for a corrective phase, with the RSI closing in on overbought zones. If Ethereum falls, it will try to find support as close to $1,550 as possible. If it succeeds, it will be easier to ascend and test key resistances. If not, we may be in for some exciting Ethereum news later in the day.