Ethereum Under Pressure: Price Forecast and ETF Outflows Analysis

Ethereum is facing significant pressure as ETFs experience $82M outflow for seven weeks, leading to a 10% price drop. Network activity also decreased by 33%. Analysts predict further declines if ETH surpasses $1,500, potentially falling to $1,300 or $1,200. Standard Chartered Bank has decreased its year-end price target to $4,000 due to scalability and competition concerns.

As Ethereum faces pressure, reports indicate an ongoing outflow of $82 million from Ethereum ETFs, marking the seventh consecutive week of declining investor interest. This trend has led ETH’s price to decrease by 10% over the past week, leading many analysts to speculate about a potential further decline next week. If Ethereum falls below $1,500, projections suggest it might continue to plummet towards $1,300 or even $1,200.

Specifically, on April 11, Ethereum spot ETFs experienced an outflow of $29.2 million, continuing a streak of negative movements. Grayscale’s ETHE dominated these withdrawals with $26.1 million, while Bitwise’s ETHW lost $3.1 million. These significant outflows from major funds are contributing to selling pressure, further driving ETH prices down.

In addition to monetary outflows, Ethereum’s network activity has declined sharply, with unique active wallets decreasing by over 33% in the past month. In contrast, the activity on Solana decreased only by 16%, while Tron experienced a 16% increase in user activity, raising concerns about Ethereum’s engagement levels.

Standard Chartered Bank recently expressed reduced confidence by slashing its year-end price target for ETH by 60%, now forecasting a price of around $4,000. The bank cited issues related to scalability and heightened competition, claiming Ethereum’s dependency on Layer 2 networks undermines its competitive edge.

Currently, the bearish trend in ETH prices raises concerns as demand continues to wane. Without substantial backing from large investors, a recovery is doubtful anytime soon. If current bearish trends persist, ETH may substantially decline beneath $1,500. However, should it recover and surpass $1,700, there could be short-term recoveries to prices near $1,900 or even $2,000.