Ether (ETH) fell sharply by more than 7% in the last 24 hours, declining from a high of $2,770.56 to a low of $2,477.71 before recovering slightly to $2,536.
The sell-off followed Israeli airstrikes on Iranian military targets, escalating tensions in the Middle East and prompting a risk-off reaction across global markets.
Israeli Prime Minister Benjamin Netanyahu described the operation as a targeted strike on Iran’s nuclear and missile programs. Iran retaliated with nearly 100 drones aimed at Israel. Although the U.S. denied direct involvement, Secretary of State Marco Rubio stressed the protection of American forces in the region remains a priority.
Amid heightened geopolitical risk, investors moved toward traditional safe-haven assets. The U.S. dollar strengthened 0.6%, reversing a recent three-year low and outperforming other safe-haven currencies such as the Swiss franc and Japanese yen. Gold prices neared a two-month high, and oil futures initially surged up to 13% before easing.
Market strategists highlighted that the extent and duration of the conflict—especially its impact on oil markets—will influence investor sentiment going forward. Analysts from ING noted the dollar’s rebound was notable, though somewhat muted, while a Bank of America survey indicated traders remain heavily short the dollar but without a drop in confidence in that position.
Ethereum’s decline paralleled losses in other risk assets including stocks, bonds, and commodities. Prices have stabilized just above $2,530, though volatility is expected to persist as the situation develops.
Technical Analysis:
- ETH experienced a 10.6% intraday drop from $2,770.56 to $2,477.71.
- Trading volume increased to 692,000 ETH amid intensified selling during U.S. evening hours.
- Price found short-term support near $2,480 but encountered resistance below $2,550.
- Recent trading shows consolidation in a narrow band between $2,530 and $2,540.
- Volume has gradually declined, indicating potential short-term exhaustion though no clear reversal is confirmed.
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