Ethereum price has been on a downward trend in recent days, with several factors contributing to the bearish pressure. Despite a promising start to 2025, with rising crypto prices, the tables have turned. Now, as ETH struggles to stay above $3,200, traders are left wondering if the bear market will continue.
A closer look at the price chart reveals a concerning sight. Ethereum price has been making red daily candles for the last couple of days. This occurrence is usually a bearish sign, indicating a decrease in price and a potential downtrend. But what could be driving this bearish trend?
One factor that might be influencing Ethereum price is the rising ETH inflow on exchanges. Typically, when investors are looking to sell their crypto holdings, they transfer them to exchanges. So, an increase in ETH exchange inflows could be suggesting that investors are preparing to sell, which might be putting downward pressure on the price.
Another occurrence that has been in the spotlight is the continued selling by a Swiss-based non-profit organization dedicated to advancing the Ethereum network. The organization, known as the Ethereum Foundation, is focused on various initiatives related to the network's development and community engagement.
Recently, the foundation has been making regular ETH sales, which are being carried out by a third party over-the-counter (OTC) desk. In the latest update, the foundation sold 100 ETH on March 15, which were exchanged for 329,463 DAI stablecoins.
These sales are part of an ongoing strategy by the foundation to diversify its holdings and generate funds for its operations. However, the foundation's selling activity has been closely monitored by the crypto community, as it often precedes price declines.
Another factor that might be impacting Ethereum price is the surging US30Y or United States 30-year government bond yields. Bond yields are a crucial indicator of interest rates and the health of the economy. Usually, higher yields make riskier assets, like cryptocurrencies, less appealing.
So, as the 30-year government bond yields continue to rise, investors might be shifting their funds away from cryptocurrencies and toward safer assets. This could be contributing to the sell pressure on Ethereum price.
