Ethereum, the second-largest cryptocurrency by market cap, has faced a significant price decline due to a major hack and U.S. economic policies.
Reasons for Ethereum’s Price Drop
Last week, Bybit exchange suffered a hack totaling $1.5 billion, reportedly executed by North Korea's Lazarus Group. This caused a 25% crash, bringing Ethereum's price below $2,500.
Current Market Situation
Ethereum has broken its key support levels and shows no signs of recovery. Many experts draw comparisons to past price drops, such as those in April and August of last year.
Forecasts and Possible Recovery
Some analysts, like TraderPA, believe Ethereum is oversold and could recover soon to higher levels, especially if the Fed changes its monetary policy.
Ethereum's future is at a critical juncture. If the Federal Reserve changes course, there could be a strong price recovery, but continued selling pressure might keep Ethereum under stress.
