The price of ether (ETH) has dropped by more than 5% in the last 24 hours to around $ 1,800 on March 28. Etera bears have reflected similar defects in a different place on the cryptocurrency market, with total capitalization dropped by about 2.67% to USD 2.78 trillion.

Several factors contribute to ETH prices, including:

25% of Trump Spior Investors automotive tariffs

One main macroeconomic force affecting the price of Etern are the renovated tariff wars of US President Donald Trump, which caused tensions among investors.

Key results:

• On March 26, 2025, President Trump announced a 25% tariff for all cars and featherlight trucks imported to the USA, which entered into force on April 3.

• Market participants can cause another sale in cryptocurrencies, reducing prices.

• 25% tariff for car import is directed to the main trade partners, such as Mexico, Canada, Japan and Germany.

• While Trump advertises this as a way to strengthen the American automotive industry, immediate rainfall probably global markets, especially risk assets such as ETH.

• When Trump applied to Canada, Mexico and China tariffs at the beginning of March, ETH fell from USD 3,400 to USD 2,100 hours before partial recovery.

Mexico President Claudia Sheinbaum said that her administration would give a comprehensive response to the tariff after April 2, Kobeissi said, addition:

“Mutual tariffs about mutual tariffs are coming.”

When applying before the trade war and the potential recession in the US, investors move away from unstable assets such as ETH in relation to safer paradise, reducing the price.

Long liquidations accelerate the bottom

Ether collapsed in the last 24 hours coincided with a wave of long liquidation, which forced traders to leave their position of the lever.

Key results:

• A edged drop in price caused a cascade of forced sales because traders bet on the augment in Ethereum prices.

• Such liquidations accelerate the decrease in price, tightening the deterioration of the economic situation.

• Wider cryptographic market Has experienced a edged delevant eventWith complete liquidation, reaching $ 353 million in all assets.

Related: Devs Ethereum is preparing the final Pectra test before starting Mainnet

ETH is additionally heading towards USD 1200

Ether price techniques also look weaker, in particular its dominant bear flag pattern.

Key points:

• The bear’s flag suggests the continuation of the Bear of the momentum.

• Transient consolidation (flag) created nearly USD 2,200, which caused a failed breakthrough.

• ETH has fallen below key support levels, confirming the failure of the bear’s flag.

ETH “suffered more serious declines”, fell by over 50% compared to a three -year maximum $ 4,100 achieved on December 16, 2024, according to the latest Cryptoquant data provider in its latest reportAddition:

“This reflects the weaker recovery rush and higher variability.”

As previously informed by CointeLgraph, the recent payments of Ether prices reflected too bear expectations, but the growing activity of the Ethereum network and reduction of supply supply may constitute a recovery stage in the direction of USD 2,500.

This article does not contain investment advice or recommendations. Each investment and commercial movement involves risk, and readers should conduct their own research when making decisions.