Ethereum price dropped more than 9% on Monday to trade at $2,120 at press time.
Several bearish catalysts now appear to be weighing on Ethereum’s short‑term outlook. Despite recovering strongly from its February lows earlier this year, ETH remains more than 35% below its yearly high near $3,350.
Why Ethereum price falls below $2,100 today
Institutional sentiment toward Ethereum has weakened considerably. According to SoSoValue, US‑listed spot Ethereum ETFs extended their outflow streak last week. Roughly $255 million exited the funds as institutional appetite deteriorated.
At the same time, top crypto market makers have started reducing exposure. Recent reports indicate that major trading firms like Wintermute offloaded nearly 40% of their Ethereum holdings over the past few weeks. This adds additional sell‑side pressure.
On‑chain exchange flows have also turned bearish. Net ETH inflows into centralized exchanges climbed to their highest levels since early 2025. That is often a signal that traders may be preparing to sell. In addition, several large ETH transfers linked to early Ethereum insiders and co‑founders moved funds to exchanges such as Kraken.
Meanwhile, rising inflation concerns and elevated oil prices continue pressuring risk assets globally.
Technical pattern warns of more downside
On the daily chart, Ethereum now appears to be forming a bearish Adam and Eve topping pattern. This structure often signals a potential trend reversal after a failed recovery.
The pattern consists of a sharp, rounded peak followed by a broader, curved structure. The neckline support currently sits near the $1,930 region.
Ethereum has already started breaking down from the upper curve of the formation. Momentum indicators continue weakening. The MACD has crossed into bearish territory. Both signal lines trend lower as red histogram bars expand. This indicates growing downside momentum.
The RSI has fallen toward the 34 level. This suggests that bearish momentum continues strengthening. Buyers are gradually losing control of the short‑term trend.
Key levels to watch
Ethereum is now struggling to hold above the key $2,100 psychological support. Earlier this month, it repeatedly failed to reclaim the $2,400 resistance zone.
If sellers push ETH below the neckline support near $1,930 , the bearish Adam and Eve setup could trigger a deeper correction toward the $1,700–$1,600 region.
On the upside, bulls would need to reclaim the $2,300 –$2,400 resistance zone. That would invalidate the current bearish structure and restore broader bullish momentum.