ETH Plunges 5.7% Amid $12M Grayscale Outflow and Surging Volatility as RSI Signals Oversold

Ethereum (ETH) experienced a significant price decline of 5.70% over the past 24 hours, falling from an open of $2,425.25 to $2,286.97 on Binance. This drop is primarily attributed to panic selling by small whale holders and notable institutional outflows, including a $12 million withdrawal from Grayscale’s Ethereum Trust. Heightened geopolitical tensions and recent protocol changes have also contributed to negative sentiment and increased volatility, as reflected in the spike in trading volume (up to $22.24 billion) and a high volume-to-market cap ratio of 8.02%. Despite increased network activity (1.2 million transactions in 24 hours), technical indicators such as an RSI of 38 suggest ETH is currently oversold, but the prevailing trend remains bearish until stronger buying support emerges.