As Ethereum (ETH) finds itself grappling with a staggering 55% decline over the past 14 months, the cryptocurrency’s price has plummeted from a remarkable peak of $4,000 in February 2024 to a current low of just under $1,800 by April 2025. Amid escalating sell-side pressure and pervasive bearish sentiment, critical indicators suggest that a turnaround might be on the horizon.

Are We Seeing Signs of a Bottom?

The ongoing decline has led many analysts to explore whether Ethereum has hit rock bottom. Recent analyses from CryptoQuant reveal an intriguing bullish divergence, indicating that the worst may indeed be behind us. Even as ETH struggles at multi-month lows, several metrics point towards a waning selling momentum.

A particularly telling indicator is Ethereum's Net Taker Volume (NTV). Historically negative, the NTV reached a distressing peak of -$360 million, demonstrating sustained sell pressure. However, recent patterns show a reversal with NTV starting to form higher lows despite the falling price, a classic sign often observed during pivotal market shifts.

Trading Activity Offers Clues

Complex trading dynamics further underline the evolving market narrative for Ethereum. Between December 2024 and April 2025, Taker Buy Volume exhibited erratic but significant spikes. Notably, on February 3, Taker Buy Volume surged to $19 billion as Ether traded around $2,882.93. This surge showcased buyer resistance against the sell-side pressures lining the market.

Fast forward to April 1, and Taker Buy Volume had decreased to approximately $4.75 billion, with ETH priced at $1,905.17. On the other hand, Taker Sell Volume, which had skyrocketed from $601.6 million at the end of December to $17.6 billion in early February, tapered off to about $4 billion by April 1, suggesting a decline in the panic-driven selling that had characterized the market previously.

Moreover, Ethereum's net exchange flows provide more context to the shifting trading dynamics. Despite the 45% decline from December to March, withdrawals from exchanges saw a rise, with a notable net outflow of 257,700 ETH on February 21 when the price was at $2,661. Interestingly, there was a brief influx of 120,900 ETH into exchanges on March 10 as the price dipped to $1,866, likely a move by short-term traders looking to liquidate positions. However, the overall trend appears to suggest a strategy leaning towards accumulation rather than hastening exits.

Technical Insights Paint a Mixed Picture

From a technical analysis perspective, Ethereum remains entrenched in a downtrend, continually facing resistance at its Simple Moving Average (SMA), established since January 2025. Multiple failed attempts to rally—most notably to price levels of $2,700 in February and $2,000 in March—highlight the persistent overhead selling pressure.

Yet, a pivotal twist appears to be unfolding: Ethereum has successfully defended the $1,800 support level, with multiple tests throughout March and April demonstrating resilience. Each bounce from this critical threshold, coupled with decreased volume during dips, suggests a potential loss of intensity from sellers.

Additional indicators—like the leveling of the On-Balance Volume (OBV), increasing withdrawals from exchanges, and diminishing Taker Sell Volume—paint a picture of $1,800 transitioning into a significant accumulation zone for investors.

Should Ethereum manage to reclaim the $2,000 to $2,200 range, this could ignite a major trend reversal, turning optimism back toward this leading cryptocurrency. For now, all eyes are on the $1,800 support, a crucial battleground that will determine the future direction of Ethereum prices.

Could We Be Approaching a Game-Changing Moment?

Stay tuned as developments unfold—Ethereum's next moves could take many by surprise!