Ether (ETH) fell more than 7% within 24 hours, dropping from a high of $2,770.56 to a low of $2,477.71 before slightly recovering to $2,536 at press time.
The decline occurred amid a global risk-off environment following Israeli airstrikes on Iranian military sites, escalating tensions in the Middle East. Israeli Prime Minister Benjamin Netanyahu described the strikes as a targeted operation against Iran’s nuclear and missile programs. Iran retaliated by launching approximately 100 drones toward Israel. Although the U.S. denied direct involvement, Secretary of State Marco Rubio stressed America’s commitment to protecting regional forces.
Investors responded by shifting into traditional safe havens. The U.S. dollar rose 0.6% after hitting a three-year low the day before. Gold approached a two-month peak, and oil futures surged up to 13% before moderating. The dollar’s gains surpassed those of other safe-haven currencies like the Swiss franc and Japanese yen.
Market strategists highlighted that the conflict’s extent and duration, especially its effect on oil prices, will influence investor behavior. ING analysts noted the dollar’s recovery was notable but less dramatic than anticipated. Bank of America’s survey showed traders remain heavily short the dollar, though confidence in that position has not collapsed.
ETH’s drop mirrored weakness in equities, bonds, and commodities. Though prices stabilized above $2,530, volatility is expected to persist as the situation develops.
Technical Analysis:
- ETH experienced a 10.6% intraday decline from $2,770.56 to $2,477.71.
- Trading volume increased to 692,000 ETH amid intensified selling during U.S. evening hours.
- Prices briefly recovered near $2,480 but faced resistance under $2,550.
- Current consolidation ranges between $2,530 and $2,540.
- Volume is declining, indicating short-term exhaustion without a confirmed reversal.
Note: Portions of this article were created with AI assistance and reviewed by editorial staff to ensure accuracy and compliance with CoinDesk’s AI Policy.