Analysis: The risk of ETH falling below $2000 has increased, with technical patterns and on-chain indicators pointing to the $1665–1725 range

According to Cointelegraph, the price of Ethereum is facing further downside risks. The technical analysis shows that ETH has entered a typical "Inverse Cup and Handle" breakout phase, and if the pattern completes, the target price points to around $1665, indicating about a 25% downside from the current level. From the trend, ETH broke below the neckline of approximately $2960 in January, subsequently rebounding to test that level but facing resistance and falling back, while failing to regain the 20-day and 50-day EMA, both of which have turned into significant overhead pressure.

Multiple technical signals resonate, reinforcing the expectation of continued short-term declines. On-chain data is also bearish. The extreme deviation range of MVRV indicates that ETH's potential downside target is around $1725, and further declines cannot be ruled out. Historically, ETH has often gradually bottomed out and started to rebound after touching or breaking below the lower MVRV boundary. On a macro level, market risk appetite for crypto assets is declining, with some traders concerned that a similar overall correction to past "four-year cycles" may occur in 2026; at the same time, expectations of a potential "AI bubble" burst are also prompting funds to avoid high-risk assets, exacerbating the downward pressure on ETH.