Markets are reacting nervously as an ethereum price drop coincides with continued selling from Vitalik Buterin and large whale addresses on major exchanges.
Ethereum price slips below $1,900 amid heavy liquidations
The Ethereum price today fell to a fresh two-week low, sliding nearly 5.6% to trade around $1,877. After the move below $1,900, derivatives markets saw more than $115 million in liquidations, signaling aggressive unwinding of leveraged positions across exchanges.
This sharp decline has raised concern among traders and long-term holders. Moreover, the combination of spot selling and derivatives liquidations suggests that sentiment around ETH in the short term has turned decisively risk-off.
Vitalik Buterin continues to sell ETH holdings
Vitalik Buterin, co-founder of Ethereum, has maintained a steady pace of selling this month. In the past two days alone, he offloaded about 1,869 ETH worth approximately $3.6 million. Following this latest tranche of sales, the price slid from $1,988 to below $1,880, a drop of roughly 5.7%.
This is not the first time his on-chain activity has aligned with downward moves. Earlier in the month, Buterin sold 6,958 ETH for around $14.78 million, after which the Ethereum market recorded a steeper 22.7% decline. That said, some analysts argue that these disposals could reflect routine portfolio management rather than a negative view on the asset.
In total, Buterin has sold close to 8,800 ETH in February, worth over $16.53 million at current prices of roughly $1,879. However, while the sums are notable, on-chain observers caution that his transactions are only one of several factors weighing on market confidence.
Whale selling adds to ethereum price drop pressure
Large Ethereum whales have also begun unloading sizeable stacks, amplifying the latest ethereum price drop. One long-term holder recently moved more than 14,183 ETH, worth about $42 million, into Coinbase after holding the tokens for nearly nine years, a transfer widely interpreted as preparation to sell.
Apart from this high-profile move, data shows that whale wallets with balances between 100,000 and 1 million ETH have sold around 1.43 million ETH over the last two weeks, equivalent to roughly $2.7 billion. Moreover, this scale of Ethereum whale selloff signals that major investors are trimming exposure and taking profit, indirectly increasing downward pressure on spot prices.
Such heavy distribution at the top end of the holdings spectrum often coincides with heightened volatility. However, it can also set the stage for new capital to enter at lower levels if risk appetite returns.
Technical picture and key support levels
On the weekly chart, ETH has broken down through important eth fibonacci support levels, confirming that the recent move is more than a minor pullback. The immediate technical focus is the $1,800 region; if the token closes decisively below that zone, chart watchers see the next strong support near $1,573, an area where aggressive buying emerged previously.
Analysts note that a sustained loss of these supports could signal a deeper eth market correction. However, as long as $1,573 holds on a weekly closing basis, some traders expect range-bound consolidation rather than an outright collapse.
In the more bearish outlook, the price could eventually revisit the $640 area. This level is viewed by some market technicians as a potential “full reset” zone, where overleveraged and weaker hands capitulate while patient, larger buyers step in.
Long-term scenarios and accumulation opportunities
If a deeper correction plays out, multiple strategists believe it could create a compelling long term accumulation phase for high-conviction investors. In that scenario, patient capital would use extended weakness to build positions ahead of the next multi-year cycle.
Some long-range models still point to a potential long-term price objective near $10,048, assuming broader crypto adoption and favorable macro conditions. Moreover, advocates argue that any future recovery to that zone would likely be built on a base formed during periods of stress, rather than at euphoric peaks.
For now, market participants are watching volatility, on-chain flows, and derivatives positioning closely. The ethereum price drop has shaken short-term confidence, but it may also be setting the groundwork for the next major trend once selling pressure exhausts and new buyers emerge.
Source: https://en.cryptonomist.ch/2026/02/23/ethereum-price-drop-2/
