$ETH
Ethereum (ETH) Market Alert: February 4, 2026
Ethereum is currently facing significant volatility, trading near the $2,270 mark after a sharp 24% decline over the past week.
Key Market Drivers:
Vision Shift: Founder Vitalik Buterin recently sparked debate by shifting focus back to Layer-1 scaling, causing a ripple effect across Layer-2 ecosystems.
Institutional Pressure: Major firms have reported significant "unrealized losses" due to this dip, leading to a cautious "wait-and-see" approach by big whales.
Critical Levels: Analysts suggest that ETH needs to reclaim the $2,690 resistance to signal a recovery. If it fails to hold current support, we could see a test of the $2,000 psychological barrier.
Outlook: While the short-term trend is bearish, long-term sentiment remains optimistic as spot ETF inflows begin to stabilize.