Ethereum Price Sinks Below Aggregate Cost Basis Amid Bearish Market Structure

Ethereum faces significant challenges as it attempts to recover from its recent price drop. The Ethereum MVRV-Z score, which compares market capitalization to realized capitalization, has fallen to -0.42, indicating that the current price is below the aggregate cost basis of investors.

This is a concerning sign, especially given the significant 21% price gain since June 30. Long-term holders are still sitting deep underwater regarding their own average cost basis, with a 365-day MVRV reading of -33%. The price remains trapped below the 200-day moving average of $2,335, reinforcing the broader bearish market structure.

The Relative Strength Index (RSI) is neutral at 53.7, while the MACD indicator has generated a short-term purchase signal with a reading of 6.31. However, buyers are struggling to reclaim the $2,280 to $2,380 resistance zone, and every attempt to break above $2,400 since March has failed.

Whales continue to accumulate ETH, despite institutional spot demand fluctuating. Realized price for accumulation wallet addresses has risen toward the $3,000 zone from the $1,560 level recorded in June. However, spot Ether ETFs have shown significant volatility in participation, with net withdrawals of $224 million on September 16.