Ethereum price prediction: Will sellers break $2,020 support? ETH slumps 7.53%

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Ethereum slides 7.53% to $2,113 today

Highlights

Ethereum's staking queue reached a record 4 million ETH on February 3, 2026, pointing to increased network engagement and reduced liquid supply.
Institutional flows were mixed as Pilgrim Partners Asia sold $16.2 million of iShares Ethereum Trust ETF, while BlackRock’s ETF saw intermittent net inflows.
Ethereum trades at $2,113.79, well below key moving averages with strong bearish momentum; critical support sits at $2,020 and resistance at $2,330.

Staking surge and mixed ETF flows as scaling concerns resurface

Ethereum's ecosystem saw notable activity with the staking queue reaching a record 4 million ETH on February 3, 2026, suggesting heightened network engagement and a likely reduction in liquid supply. Institutional involvement remains mixed as Pilgrim Partners Asia sold 620,000 shares of the iShares Ethereum Trust ETF (about $16.2 million) and Apeiron Capital Limited fully exited its $9 million ETHA position in the previous quarter, while select ETFs like BlackRock’s iShares product recorded periods of net inflows. Additionally, Vitalik Buterin publicly reconsidered Ethereum’s rollup-centric scaling roadmap, highlighting slower-than-expected Layer 2 decentralization progress.

Strong downward momentum as resistance and oversold signals converge

Technical signals remain firmly bearish: ETH trades far under the MA-20, MA-50, and MA-200, confirming strong seller dominance in the short, medium, and long term. The next dynamic resistance is marked by the Ichimoku Kijun level at $2,756.45. Momentum indicators such as MACD and ADX reinforce downward pressure, while deep oversold readings on the RSI (25.29), Stochastic RSI, and CCI underscore extreme selling. Bull/Bear Power and the Awesome Oscillator both remain negative, supporting the ongoing bearish trend with volatility concentrated near the daily lows.

Downside continuation risk as sellers anchor near volatility floor

Looking ahead, short-term trading is likely to remain confined within the $2,020 – $2,330 volatility band relative to current levels, reflecting recent heightened swings and prevailing sentiment. The probability of a further decline is high, with sellers expected to retain control. Only a significant move above $2,330 would suggest a bullish shift, which appears unlikely given the present momentum. A breach below $2,020 could accelerate downside pressure, as daily and weekly indicators continue to align negatively.

Anton Kharitonov, analyst at Traders Union, sees clear bearish momentum in Ethereum as prices remain below all key moving averages and technical indicators stay deeply negative. He notes the surge in staking points to long-term network strength, but institutional sentiment is mixed and current seller dominance outweighs any positive signals. The analyst believes short-term moves will likely be range-bound within the $2,020 – $2,330 corridor, with further declines possible if $2,020 is breached. "With price action and sentiment both under pressure, I remain defensive — any bounce below $2,330 looks unconvincing for now."

Previously it was reported that Vitalik Buterin’s comments questioning the primacy of Ethereum L2s for scaling have intensified debate among project teams, with some emphasizing the growing capability and throughput of Ethereum’s mainnet and the ongoing security risks of current L2 solutions. While Layer 2 networks continue to outperform Ethereum in sheer transaction speed, technical indicators—such as resistance to adopting full security guarantees and concerns over production-ready proofs—highlight both evolving roles and persistent challenges for L2s apart from simple fee reduction.

Source of Data: ETH Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

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