Ethereum: Why Fundstrat sees $1.7K as a possible ETH bottom

Fundstrat’s head of digital asset technique, Sean Farrell, believes that Ethereum could also be near the market backside if it has not already reached it. 

Citing historic data linked to realized value and previous cycle lows, Farrel projected that the biggest altcoin could discover reduction round $1,360-$1,770.

Realized value is the typical value foundation for on-chain holders and usually serves as a key assist zone. Up to now, ETH’s large drawdowns eased proper after breaking this assist zone. 

Supply: Fundstrat

In 2022, ETH shaped a backside after dropping 39% beneath the realized value. Conversely, in Q1 2025, the altcoin rebounded after dropping 21% beneath its on-chain assist degree. 

In response to Farrel, if the pattern repeats the 2022 sample, it will indicate a possible backside at $1,367. Then again, if the 2025 sample performs out, then the altcoin could lastly bounce at $1,770. 

Brief-term headwinds

In December, the analyst appropriately predicted that BTC would drop to $60K and ETH to $1800 earlier in 2026, noting that the market could get better within the second half of 2026. 

That mentioned, one other broader market drawdown dragged ETH to a low of $1,747 on Binance. If the 2025 state of affairs performs out, the altcoin might have already got bottomed out. But when it follows the 2022 pathway, then one other 30% decline to $1.36K from the present $1.94K degree might nonetheless be on the playing cards. 

However Farrell expects an 80% rally within the subsequent 12 months if ETH eases above $1.3K. 

Within the meantime, nevertheless, the general promoting from U.S. buyers (together with ETFs) seen in early February has eased considerably. Nevertheless, they haven’t flipped to web shopping for but, as indicated by the damaging studying on the Coinbase Premium Index. 

Traditionally, a robust and sustainable ETH restoration has all the time been supported by U.S. shopping for strain. So, until it turns constructive, the ETH value could battle to reclaim $2000 for some time. 

Supply: CryptoQuant 

Total, ETH could have reached its potential degree of reversal to the upside, in response to Fundstrat’s Farrell, however there was nonetheless no sturdy demand. Ought to renewed U.S. spot ETH ETF inflows observe swimsuit, possibly the altcoin could discover reduction above $1,300 or $1,700. 

Closing Abstract

• Ethereum could also be near a market cycle backside above $1.3K if the present pattern follows the 2022 sample. 
• ETH could battle to carry $2000 within the close to time period until sturdy shopping for strain resumes.