Ethereum: A historic rebound towards $4,500 after the flash crash?
14:00 hours ▪ 5 min read
In less than 48 hours, Ethereum lost 20% of its value before recovering with the same strength. Does this sudden drop mark the end of a correction or the beginning of a new rise towards $4,500? An analysis of technical and fundamental signals, and the sentiment of the cryptocurrency market.
Briefly
Ethereum dropped 20% in 48 hours before recovering, with a billion dollars in liquidations and massive accumulation by whales.
The technical and on-chain indicators of Ethereum show a solid recovery, with an increasing RSI and 230,000 ETH withdrawn from cryptocurrency exchanges.
The derivative markets of Ethereum are stabilizing and sentiment is shifting from extreme fear to neutrality, paving the way towards $4,500.
Sudden drop of Ethereum: Anatomy of a sudden fall in the cryptocurrency market
On October 11, 2025, Ethereum plummeted from $4,100 to $3,500 in a matter of hours, triggered by geopolitical tensions and massive liquidations. Over $1,000 million in positions were liquidated in one hour, amplifying the panic. Large cryptocurrency investors, or "whales", took advantage of this drop to accumulate Ethereum massively, while smaller wallets panicked.
This scenario is reminiscent of the sudden cryptocurrency drops of 2017, 2020, and 2021, when Ethereum (ETH) consistently recovered after sharp declines. However, the speed of recovery this time depends on the macroeconomic context and the liquidity available in the markets. The similarities with previous crises show that recoveries can be quick, but also volatile.
