KEY INSIGHTS:
- Ethereum price dropped to $1,781.6 on June 4, down 11.10% weekly, hitting lows not seen since May 2025.
- US spot Ethereum ETFs logged 16 straight days of net outflows, draining $845M over the past four weeks.
- World Of Charts says ETH tests multi-year trendline support that could trigger a major bullish reversal.
Ethereum price dropped to $1,781.6 on Wednesday, June 4, marking its lowest level since May 2025. Long-term holders selling, record ETF outflows, and deeply negative MACD readings drove the 11.10% weekly decline.
Long-Term Holders Drive Ethereum Price Lower
The Ethereum price slide has clear on-chain roots. Long-term holders (LTHs) are actively distributing coins into a falling market. Over the past two days, the Age Consumed metric spiked as prices fell.
The metric tracks coins that had been sitting idle for months before suddenly moving, and the timing lines up directly with the Ethereum price drop. When long-term holders start moving coins, spot selling tends to follow quickly.
Crypto analyst World Of Charts addressed the Ethereum price on X, noting that ETH has reached a very important technical level.
“Ethereum has finally reached a very important technical level and is currently testing a multi-year ascending trendline support,” the analyst wrote. “If ETH manages to maintain support here and successfully break above the descending trendline overhead, it could trigger a strong bullish wave and signal the start of a major upside move.”
https://x.com/WorldOfCharts1/status/2062052629342212225
The majority of recent sales are coming from underwater positions. Most LTHs selling now are doing so at a loss. Realized losses have stayed consistent since April, pointing to risk-off behavior rather than strategic profit-taking. The data suggests sellers are not exiting out of strength; they are cutting exposure.
This pattern matters because LTH distribution at a loss has historically marked late-stage capitulation phases. Whether this represents peak pain or more selling ahead depends on how quickly spot demand returns.
| Metric | Reading |
| ETH Price (June 4) | $1,781.6 |
| Weekly Change | -11.10% (-$222.4) |
| Weekly RSI | 33.24 |
| MACD Histogram | -262.6 |
| RSI Signal Line | 38.75 |
ETF Outflows Extend Record Streak
US spot Ethereum ETFs have now recorded 16 consecutive days of net outflows, their longest negative run since launching in July 2024, per FarSide Investors data. The streak has become the dominant institutional narrative around the Ethereum price in recent weeks.
Total outflows over the past four weeks reached $845 million. One late-May session alone saw $62.3 million exit Ethereum ETF products in a single day.
BlackRock clients were responsible for $59.4 million of that single-day withdrawal. May 2026 closed as the worst month for Ethereum ETF flows this year, with $401 million in total net redemptions.
The scale of these outflows reflects more than routine repositioning. When institutions redeem at this pace for this long, it signals capital rotation away from ETH exposure. Retail sentiment has followed. The Fear and Greed Index sits at 11, in Extreme Fear territory, while ETH has shed more than 20% over the past 30 days.
- US spot Ethereum ETFs have now logged 16 straight days of net outflows as of June 4.
- Four weeks of persistent redemptions have drained $845 million from ETH spot products.
- May 2026 alone saw a $401 million exit, making it the worst month for ETH ETF flows this year.
- In one late-May session, BlackRock clients pulled $59.4 million out of a total $62.3 million single-day outflow.
- Sentiment has collapsed alongside the money flow, with the Fear and Greed Index now sitting at just 11.
Ethereum Price: Key Technical Levels to Watch
The weekly chart shows the Ethereum price trading below all major moving averages. The RSI sits at 33.24, approaching oversold territory, while the signal line remains at 38.75. The gap between the two confirms bearish momentum still has room to run before a crossover sets up. The MACD histogram at -262.6 shows no sign of flattening.
On the derivatives side, open interest holds above 15 million ETH despite falling prices. Funding rates remain positive, pointing to a derivatives market still skewed toward long positioning. That setup raises liquidation risk if spot selling continues to dominate.
Support and Resistance Breakdown
| Level | Type | Notes |
| $1,800 | Resistance | Must reclaim for any recovery |
| $1,740 | Support | Near-term bounce zone |
| $1,720 | Support | Intraday floor |
| $1,600 | Deep Support | Macro capitulation target |
| $2,000 | Resistance | Bull recovery target |
If the Ethereum price fails to reclaim $1,800, the macro chart opens a path toward $1,600. That level acted as a key accumulation area during the late 2025 and early 2026 recovery phases. It also carries dense historical buyer interest, making it a structurally tougher level for bears to break.
On the upside, World Of Charts adds that patience is key, but the structure is becoming increasingly interesting.
“Holding this support zone is crucial before expecting a larger rally,” the analyst noted. “If buyers continue defending this area and a clean breakout occurs, Ethereum could be setting up for a significant long-term rally with much higher targets ahead.”
A sustained move above $1,800 is the minimum requirement before bulls can target $2,000.
FAQs
Why is the Ethereum price falling below $1,800?
Long-term holder capitulation and 16 consecutive days of ETF outflows are driving the Ethereum price lower.
What does the RSI reading mean for the Ethereum price?
The weekly RSI of 33.24 approaches oversold territory, a level historically linked to major market bottoms.
What does the RSI reading mean for the Ethereum price?
The weekly RSI is sitting at 33.24, just a level away from oversold levels where ETH has tended to find a bottom.
