Ethereum (ETH) has been on a strong downtrend, recently trading at $2,289, down 5.41% in 24 hours. Despite weekly gains, ETH's daily losses have outweighed them. Trading volume surged 81.42% to $13.67 billion, but it remains unclear if this represents buying or a whale sell-off, signaling potential risk.

Analyst Javon Marks predicts ETH could rally to $4,723.5, citing similarities to the 2023 cycle when ETH gained 165%. A breakout could push it to $8,100, with overall sentiment remaining bullish, but current market conditions challenge this outlook.

Recent liquidations of $46.97 million in long positions show waning investor confidence, while exchange outflows and the Taker Buy Sell Ratio indicate increased selling. If market conditions persist, ETH may drop to $2,114 before attempting a rebound.