Ethereum Price Prediction: $1,160 Flash Crash Possible?

Ethereum's price stability hinges on the $2,200 support level, according to on-chain analyst Ali Martinez. Martinez's analysis, shared on X, reveals a significant concentration of ETH holdings between $2,218 and $2,396, representing 67.2 million ETH acquired by 6.28 million addresses. This substantial on-chain demand zone suggests robust support at these levels. The analyst posits that if the price drops below $2,200, a significant sell-off could ensue. However, investors currently holding ETH within this range are profitable, increasing the likelihood of them “doubling down” during a price drop. This implies that if a retest of their break-even point occurs, they are more likely to buy and support the price. The next significant support zone lies at $1,160, where 35.9 million addresses hold 21.58 million ETH. While not a guaranteed outcome, falling below $2,200 could lead to a more substantial price correction, potentially towards the $1,160 support. Ethereum's current price hovers around $2,475, remaining above the identified demand zone for now. The analysis emphasizes the importance of the $2,200 level as a crucial indicator of Ethereum's short-term price trajectory. A breach below this level could trigger a significant downward movement, potentially leading to a decline towards $1,160. This scenario highlights the volatility inherent in the cryptocurrency market and the significance of on-chain analysis in predicting price movements. The data suggests a substantial risk if the $2,200 support fails, underscoring the need for caution among investors.

(Source: https://www.newsbtc.com/news/ethereum/ethereum-risk-2200-cracks-1160-may-be-coming/)