The price of Ethereum fell from $3005 on December 23 to $2965 on the 24th, a decrease of 1.34%. Currently, it has further dipped to $2925, with a 24-hour drop of 1.79%. Its market capitalization remains at $353 billion, maintaining its position as the second-largest cryptocurrency. The ETH/BTC trading pair has also shown slight weakness, reflecting that Ethereum is slightly underperforming compared to Bitcoin.

From on-chain data observation, the activity of the Ethereum network remains stable, with daily transaction volume and gas consumption showing no significant changes. This indicates that the price drop primarily comes from secondary market trading behavior rather than fundamental deterioration. The amount of ETH locked in the DeFi ecosystem remains basically stable, and the total staked ETH continues to grow, showing that the confidence of long-term holders has not been affected.

In terms of technical analysis, Ethereum has strong support at $2900, which is a key level tested multiple times in the past. If it breaks below, it may test the $2800 integer level. However, from the volume distribution, there is a large accumulation of chips in the $2900-$3000 range, and the cost for holders in these positions is relatively low, making it unlikely for them to easily cut losses, thus forming a natural support band.

Recently, the development of the Ethereum ecosystem has been continuously advancing. The transaction volume of Layer 2 solutions has reached new highs, with the number of daily active users on mainstream L2 networks like Arbitrum and Optimism showing a growth trend. This provides positive support for Ethereum's long-term value. Although the short-term price is affected by market sentiment fluctuations, the progress of ecosystem development will not be stalled as a result.

For ETH holders, it is recommended to pay attention to several key indicators: first, the change in staking yield, which is currently around 3-4% annualized. A significant drop would indicate weakened staking demand. Second, the amount of funds bridged to L2; if it continues to grow, it indicates increased ecosystem activity. Third, the situation of large transfers; if there is a large inflow to exchanges, caution should be exercised regarding sell pressure.