Ethereum Drops Below $2,800 Amid US Economic Pressure
- Ethereum falls below $2,800 on US jobs data impact.
- Significant price drop affects BTC and other altcoins.
- Liquidations and ETF outflows contribute to market volatility.
Ethereum’s price fell below $2,800, driven by strong US jobs data that affected rate cut expectations and led to market-wide sell-offs on November 21, 2025.
The price decline highlights investor apprehension about economic conditions, contributing to significant liquidations and ETF outflows, impacting ETH and related cryptocurrencies like Bitcoin.
The Ethereum price dropped below $2,800, impacted by stronger US jobs data, affecting prospects for rate cuts. Analysts attributed this decline to multiple factors, including ETF outflows and a broader risk-off sentiment within financial markets.
Vitalik Buterin and core Ethereum leaders have not commented. Major institutions affected events through ETF flow actions. Forster, CEO of Derive.xyz, noted that stricter institutional risk limits have led to sales of BTC and ETH. Forster, CEO and cofounder of Derive.xyz, remarked, “My view is that institutions broadly have had stricter risk limits imposed which has caused gradual unwinding of leverage and spot positions in BTC and ETH post 10/10.”
The drop heavily impacted cryptocurrencies and triggered liquidation events. Forster highlighted that unwinding of leveraged positions led to severe market fluctuations, profoundly affecting Ethereum’s support levels in the short term.
Financial markets saw the Ethereum price reach $2,650, reflecting significant investor unease. Long liquidations totaled $340.6 million, showcasing the swift reactions within digital asset spaces and indicating deeper market concerns.
Market sentiment indicates possible longer-term shifts in cryptocurrency valuations. Industry experts continue to evaluate how Ethereum ETF outflows and strong US economic data might shape future strategies for risk management among top investors.
Expected blockchain and financial impacts include tightened liquidity conditions and altered investor behavior patterns. Historical trends suggest a potential sustained deleveraging phase similar to previous liquidation events, influencing both valuations and investor confidence.
