4 Charts That Explain Why Ethereum Price is Stuck Below $2,000

Ethereum (ETH) investors continue to suffer as the price trades below $2,000 for 25 consecutive days. Although many altcoins have experienced massive rallies, Ethereum price has failed to move, and four charts accurately explain why this is the case. 

Let’s explore why the ETH price remains stuck and unable to move higher with these four on-chain metrics from CryptoQuant.

1. Declining Ethereum active addresses.
2. A drop in total fees burnt.
3. A decline in fees burnt per transaction.
4. An uptick in the total supply of ETH post-Merge.

Ethereum Active Addresses Plummet

One of the reasons why Ethereum price has failed to perform is lack of interest from investors. The number of active addresses has seen a steep decline from around 600K addresses to 300K. When investors interacting with the blockchain dwindles, the capital flows are also affected, which explains the lackluster performance if ETH price.

Fees Burnt Declines

Adding credence to Ethereum’s bearish fundamentals is the decline in the fees burnt. Fees burnt incentivize validators or stakers, but a decline in this metric indicates a pessimistic outlook for the price. 

With less investors interacting with the Ethereum blockchain it is logical to see the total fees burnt drop. This indicator has dropped from 10K to less than 100.

Additionally, the fees burnt per transaction has also dropped from nearly $80 to less than $0.1. All of these signals suggest that there is a decline in interaction with the blockchain particularly due to competition from Solana. Hence, ETH’s value remained stuck even as SOL price exploded close to $300.

Increase in Total Supply of ETH

The last nail in the coffin is the increase in supply of ETH post-Merge activation. The supply has increased from 120M to 120.6M, i.e., 600K ETH was added to the supply since April 2024. 

A lack of investor interest coupled with an increase in supply already affects the price of Ethereum. To make matters worse, the price of Bitcoin is also collapsing, which does not help ETH’s case. Additionally, the worsening macroeconomic conditions have caused tension that has seeped from the US stock market into the crypto markets. 

Hence, the outlook for Ethereum price prediction remains bearish and will continue to do so until the aforementioned fundamentals improve. 

✓ Share:

Akash Girimath

Senior Cryptocurrency Analyst & Market Strategist
Engineer-turned-analyst Akash Girimath delivers data-driven insights on cryptocurrency markets, DeFi, and blockchain technology for platforms like AMBCrypto and FXStreet. Specializing in technical analysis, on-chain analytics, and risk management, he empowers institutional investors and retail traders to navigate market volatility and regulatory shifts.

A hands-on strategist, Akash merges active crypto portfolio management with research on Web3, NFTs, and tokenomics. At AMBCrypto, he led cross-functional teams to redesign content frameworks, achieving record-breaking traffic growth through scalable editorial strategies. His analyses dissect market sentiment, investment strategies, and price predictions, blending macroeconomic trends with real-world trading expertise.

Known for mentoring analysts and optimizing workflows for high-impact reporting, Akash’s work is cited across global crypto publications, reaching 500k+ monthly readers. Follow his insights on YouTube, X, and LinkedIn for cutting-edge perspectives on decentralized ecosystems and crypto innovation.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.