Ethereum's Nearly 20% Plunge Breaks Bull Market Trendline Since 2022 Terra Collapse

BlockBeats News, March 10th, according to Coindesk, TradingView data shows that Ethereum's price plunged nearly 20% in the seven days ending on March 9th, marking the largest weekly percentage drop since November 2022.

This sell-off broke below the bull market trendline starting from the low point after the June 2022 Terra algorithmic stablecoin UST crash, which resulted in the loss of billions of dollars of investor wealth.

This decisive downturn signifies that Ethereum's nearly three-year bull market trend may have come to an end, with attention turning to deeper losses that could fall to support near the September-October 2023 lows, around $1,500.

Trendlines help visualize the direction of trader flows and potential areas where prices may change. An upward or bull market trendline represents a level of expected demand sufficient to prevent further price declines. When a long-term uptrend line is breached, as in the case of ETH, it indicates weakening demand, signaling a potential bearish trend reversal in the market. Breaking below a trendline typically prompts other traders to sell off, leading to greater losses.