Ether Faces Potential Drop Below $1,900, But Could It Spark a Rebound?

Analysts Highlight Strong Demand Zone and Whale Accumulation as Key Factors

Ether (ETH) is teetering on the edge of another decline below $1,900, a level that could either trigger further losses or act as a major turning point for the cryptocurrency’s recovery. With Ether already down more than 52% from its December 2024 peak of $4,100, analysts are watching closely for signs of capitulation - or a strong bounce back.

A Critical Demand Zone Below $1,900

According to Juan Pellicer, senior research analyst at IntoTheBlock, on-chain data suggests that Ether has a robust demand zone just below the $1,900 mark.

“Historically, around 4.3 million ETH were bought in the $1,848 - $1,905 range, signaling substantial support,” Pellicer told Cointelegraph. However, he cautioned that a drop below this level could lead to panic selling, as demand beyond this range appears much weaker.

In market terms, "capitulation" refers to investors liquidating their positions in a panic, often leading to a steep price drop before the market finds a bottom and begins recovering.

Whale Accumulation Could Prevent a Deeper Drop

Despite the looming risk of another dip, some analysts believe Ether is unlikely to see major losses below $1,900 due to growing accumulation by large investors, known as "whales."

Nicolai Sondergaard, a research analyst at Nansen, pointed out that whale accumulation has been on the rise, which could provide a safety net for Ether’s price.

“It does seem likely that if ETH is unable to hold the $1,900 level, we’d see further downside,” Sondergaard explained. “But whales have been accumulating, and WLFI also holds substantial amounts of ETH. Regardless, price action has been uncertain.”

Options market data further supports this uncertainty, showing large institutional players positioning for moves in either direction, indicating a lack of clear consensus on where ETH is headed next.

Whale Activity on the Rise

Ethereum’s whale addresses—wallets holding at least 1,000 ETH, or approximately $1.92 million—have been increasing in 2025. According to Glassnode, the number of such addresses has climbed over 4% since the start of the year, rising from 4,652 on January 1 to more than 4,843 by March 14.

With strong demand near $1,900 and increasing accumulation from major holders, the next few days could determine whether Ether finds its footing or continues its slide. Investors will be watching closely to see if this key support level holds firm.