Ethereum has been absolutely demolished lately 📉.
An urgent update from aixbt on X sounded the alarm — and the numbers are ugly.
In just 7 days, $ETH is down ~25%, now trading below $2,300 💥.
This isn’t a casual dip or quick shakeout. The selling pressure is deep, aggressive, and structural.
💣 Liquidation Cascade + ETF Bleeding
The selloff turned violent fast:
🔻 $227 million in ETH longs liquidated in just ONE hour ⏱️💥
🔻 Every major Ethereum ETF is bleeding — except iShares 🩸
Fidelity: –$54.8M
Franklin: –$54.8M
🔻 BlackRock dumped 35,000 ETH straight onto Coinbase Prime 🏦➡️📉
This is a clear signal:
📉 Institutional demand is weakening
🔥 Retail leverage is getting flushed
ETF outflows + forced liquidations = confidence is breaking.
🧩 The L2 Narrative Is Cracking
One of the biggest pillars of the $ETH bull case is now wobbling hard 🫨.
⚠️ Vitalik Buterin admitted L2s aren’t reaching Stage 2 fast enough
⚠️ The original “branded shards” vision is effectively dead
⚠️ Layer 1 scaling has improved faster than expected, making parts of the L2 story less compelling
This is not the bullish update investors wanted 😬.
The hype around “L2 Summer” is fading, forcing a narrative reset across the market 🔄.
🕰️ This Is NOT a 2018-Style Capitulation
Yes, comparisons to 2018 are floating around — but the mechanics are different ❗.
🔙 In 2018:
ICO hangover
Weak infrastructure
Few real use cases
📍 In 2026:
Mature ecosystem
L2s, DeFi, real protocols, real users
Strong infrastructure already in place
What’s happening now is:
📉 Profit-taking after a massive run-up
🧠 Narrative shift around scaling
ETH is still down ~54% from its August all-time high, but this looks more like a broken trade + sentiment reset, not ecosystem failure.
🔮 What’s Next for Ethereum?
The path forward depends on a few critical factors 👇
✅ ETF flows turning positive again
✅ Leverage fully flushed from the system
📍 Key support to watch: $2,200
🔻 If $2,200 breaks → lower levels likely
🔺 If it holds + flows stabilize → possible dead-cat bounce 🐱📈
🧠 Bottom Line
Ethereum is in serious pain right now 😖.
The infrastructure still exists — but sentiment is broken, leverage is being wiped out, and narratives are shifting fast.
Until the market resets, the short-term outlook remains bleak ⚠️
Survival now matters more than hype.
#ETHETFS #Ethereum #ETHdown #ETHEFTS
