Ethereum (eth) faces the historical fall of Q1: is this the worst so far?

ethereum (eth) is looking at what could be the worst of the first quarter of history, with returns for cryptocurrency that falls more than 6% so far this month.

Analysts have attributed this low yield to the persistent sales pressure, decrease in the use of the network and the fall of active addresses.

ethereum faces assembly pressure

Recent <a target="_blank" href="https://cryptorank.io/price/ethereum/analytics” target=”_blank” rel=”noopener” data-wpel-link=”external”>data From Cryptorank's show, eth Red returns during the first three months of the year. According to the data, the returns fell by 1.28% in January before falling even more drastically at 32.2% in February. With the March numbers, another 6.27%falling, this could end up being one of the weakest beginnings for a year for eth since its inception.

The asset has experienced other difficult quarters, including the third quarter of 2018 and the second quarter of 2022. The second quarter of 2018 was part of a poor race, as of May, when the returns fell 13.8%, and ended in November, when the losses amounted to more than 42%.

Interestingly, before the first quarter of 2025, the worst start of the year of eth was also in 2018, when it registered negative returns in February and March, after which it recovered significantly, with the metric firing more than 68% in April of that year.

In addition to the price, ethereum also faces other challenges. Daily tokens burns have hit <a target="_blank" href="https://www.theblock.co/data/on-chain-metrics/ethereum/burned-eth-after-eip-1559-daily” target=”_blank” rel=”noopener” data-wpel-link=”external”>historical minimumswith only 50.03 eth valued at less than $ 100,000 burned on March 23.

A mechanism introduced by EIP-1559 to reduce inflationary pressure during the high activity periods of the network requires that everything eth is burn to pay the base transaction rates in the block chain. A fall in this burning rate potentially means a decrease in transactions volumes and less active addresses.

A flash of hope?

However, despite the gloomy perspective, there is a positive side. Some data suggest a possible reversal in ethereum's fortune, with the assets of the assets moving their chips outside the exchanges at an unprecedented rate.

According to Santiment, less than <a target="_blank" href="https://x.com/santimentfeed/status/1902851984182669545?ref_src=twsrc%5Etfw” target=”_blank” rel=”noopener” data-wpel-link=”external”>9 million eth remains on commercial platforms, the lowest in almost ten years. This could imply that investors are choosing to store their long -term assets, which reduces sales pressure. Many are also betting their eth or moving it to Defi platforms, which could indicate confidence in a future price rebound.

For now, the destiny of cryptocurrency depends on the key prices levels and broader market trends. If you can recover $ 2,100 and maintain an upward boost, a recovery can be on the horizon. Otherwise, it could lead to greater losses, consolidating its worst Q1 in history.

eth was changing from hands to $ 2,091 at the time of writing, which reflects a daily increase of 3.8%. Its market capitalization is $ 252.1 billion, with a 24 -hour negotiation volume of $ 12.37 billion. However, the asset has still dropped 22.3% in the last month and 37.6% year after year.

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