On December 26, the price of Ether dropped to $3,337, erasing the gains made in the prior two days. This decline coincided with a 4% drop in Bitcoin and resulted in $34 million in liquidations of leveraged ETH longs as investors became risk-averse due to signs of weakness in the U.S. job market. Despite the recent struggles to maintain prices above $3,500, Ether derivatives markets appear neutral to bullish, suggesting the price could still reach $4,000. Stablecoins in China are trading at parity with the official dollar rate, indicating stable market sentiment. Although Ethereum's total value locked (TVL) remains steady at about 20 million ETH, with many DApps reporting increased deposits, concerns over broader economic conditions persist, which will impact future price movements. Global economic challenges, including potential new tariffs and skepticism regarding employment data, are contributing to market unease as investors shift to cash positions.

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