Ethereum’s price dropped below $2,400 on September 2, 2026, wiping out 5.5% of its value from the upper end of its previous $2,460 to $2,564 range. The downward pressure stemmed not from internal network issues, but from a dual macroeconomic hit that snapped an 11-day streak of ETF inflows.
The initial trigger came from a military escalation between the United States and Iran around the waters of the Strait of Hormuz. Geopolitical tensions heated up the commodities market, pushing Brent crude oil prices close to $95 per barrel.
The surge in energy prices reignited longstanding market anxieties over Federal Reserve policy. Reuters data shows market participants are now pricing in a 68% probability of the central bank hiking interest rates by 25 basis points at the upcoming September 16 meeting. Expectations of tighter monetary policy drove 10-year US Treasury yields above 4.8%, marking their highest level in three years.
Capital flowing out of risk assets has gradually choked crypto market liquidity.
A $94 Million Hit in the Futures Market
The sharpest blow landed on derivatives traders. CoinGlass data recorded $94.2 million worth of Ethereum futures positions liquidated within a 24-hour window. The futures market remains heavily burdened, with open interest hovering at $32.48 billion and trading volume reaching $54.43 billion - clear evidence that leverage levels remain high and vulnerable to sharp swings.
On the charts, momentum indicators favor sellers. ETH’s daily RSI retreated to 59.46, exiting the overbought territory built during the August rally. The 4-hour MACD reinforces the downward trajectory with a negative reading of -13.66 compared to the signal line at -5.58.
US real economy data applied additional pressure. The August ISM manufacturing index fell to 54.6 from 55.6 in the previous month. This reading missed the consensus estimate of 55.2, although the real sector has not officially entered contraction territory.
Key Support and Roadmap Ahead
Market attention is now fixed on lower price barriers. The $2,300 level, acting as a major EMA indicator, serves as key support being closely monitored, while the nearest upper resistance line sits at $2,550.
A bright spot for ETH holders emerges from its performance against Bitcoin. Analyst Crypto XLARGE highlighted that the monthly candle for the ETH/BTC pair managed to close above the 20-month moving average. If this breakout pattern is confirmed, the analyst projects the ETH/BTC ratio will target the 0.050 to 0.088 range.
For speculators insisting on holding leveraged positions as geopolitical tensions collide with high interest rate expectations, today’s wave of liquidations reinforces one key lesson: betting against macroeconomic trends comes at a steep price.
Reported via crypto.news.
Read also: How Crypto Staking Works and Its Risks
Disclaimer: This article is for informational and educational purposes only, not financial advice. Cryptocurrency assets are highly volatile and carry significant risk. Always do your own research (DYOR) and never invest more than you can afford to lose.
