Ethereum's $2.3K Cost Basis May Not Be Enough to Avoid Further Decline

Ethereum has been trading below its overall cost basis of $2.3K since February, which means more holders are at a loss and selling pressure is reduced.

However, crypto analytic firm CryptoQuant warns that a durable bottom could still be elusive in the medium term.

CryptoQuant's Realized Price Bands metric suggests that Ethereum may need to drop to $1.15K to reach its final market cycle bottom, which would be a 38% decline from its current price of $1,885.

Other signals, including the relative selling pressure on Ethereum based on the ETH/BTC Exchange Inflows Ratio and the MVRV metric, indicate that Ethereum has not yet reached its bottom levels.