Ethereum at a nine-month low after shedding over $100 billion in market cap in a week

Ethereum, the second-largest cryptocurrency, has shed over $100 billion of its market capitalization in the last seven days as the price falls under the $2,200 level, a nearly nine-month low, data from CoinGecko shows. 

Marking a bottom on any market action is difficult, but the price of ethereum still remains weak with more downside risks. Jim Hwang, COO of crypto investment firm Firinne Capital, told Sherwood News, “Looking back to the volatility back in April 2025, we see that there may be support around $1,500.” 

Meanwhile, spot ethereum ETFs have recorded $342 million in outflows so far this year. The token’s price action and ETF outflows are in “stark contradiction” to the network’s fundamentals, namely the increase in the amount of real-world assets tokenized and usage metrics, Hwang argued.

Ethereum’s price slump comes as cofounder Vitalik Buterin said on Tuesday that the “original vision of L2s and their role in Ethereum no longer makes sense,” pointing to how the progress of layer 2 networks has been slower and more difficult than initially expected, while the “L1 is itself scaling” and reducing fees.