Approximately 53 percent of Ethereum addresses are currently operating at a loss as increased market volatility continues to take a toll on the price of Ethereum. The second largest cryptocurrency by market capitalization is struggling through a challenging period exacerbated by macroeconomic challenges.
Most Ethereum addresses affected by losses
In a recent post on X, CryptoRank shared that less than half of Ethereum addresses are profitable.
– 47 percent of addresses holding Ethereum are in profit at the current market price of $1,900 – the post read.
In contrast, Bitcoin has generated profits for 86 percent of its owners, demonstrating its relative stability compared to Ethereum. Meanwhile, the Bitget token leads the pack with 95 percent of its owners currently making a profit.
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Over the past year, the price of Ethereum has fallen by 52.9 percent, and its value has been in a steady decline since December 2024. Moreover, amid escalating recession fears, the largest altcoin has dropped to its lowest levels not seen since the end of 2023. The decline has led to a wave of sell-offs, with traders struggling to minimize losses.
Ethereum’s ‘struggles’ were further highlighted by its poor performance over the past week. While the cryptocurrency market recorded a decline of 11 percent, Ethereum faced greater challenges, experiencing a drop of 13.5 percent. Alongside the price, Ethereum ETFs also present a similar picture. Data from Soso Value shows that ETFs have recorded consistent outflows over the past two weeks. Furthermore, on March 11, the total net outflow amounted to $21.5 million. Despite this, Ethereum co-founder Joseph Lubin remains optimistic about the future.
– I may have never been this optimistic after the recent upheaval and much-needed resets – he stated.
While acknowledging the recent losses, Lubin believes that actions by the U.S. government will help the country become more focused and agile. He sees this as an opportunity for freer action and the advancement of decentralized protocols like Ethereum. Lubin predicts that 2025 will be a pivotal year for the crypto space.
In addition to price movements, the supply of Ethereum on exchanges also signals a reduction in selling pressure. Ethereum reserves have fallen to their lowest levels in years, indicating that fewer owners are willing to sell their assets, which could potentially lead to reduced price pressure and possibly lay the groundwork for future growth. While Ethereum faces significant challenges, recent trends indicate potential for recovery. Whether this will materialize into a lasting trend or remain short-term remains to be seen.
