ETH Drops 2.8% After Major Sell-Off and $500M Liquidations Amid Tariff News and Volatility

Ethereum (ETH) is currently trading at $2,496.70, down 2.83% over the past 24 hours, with robust 24-hour trading volume between $12.4 billion and $12.9 billion and a market capitalization of approximately $308.6 billion. The recent price decline and heightened volatility are primarily attributed to broader market reactions following the announcement of a 50% tariff on European Union imports by President Donald Trump, which triggered over $500 million in leveraged liquidations across the crypto market. Additional downward pressure came from a large ETH holder selling over $570 million in assets and technical resistance near the $2,800 level, as well as thin liquidity ahead of a major U.S. holiday. Despite these factors, institutional sentiment remains positive due to recent regulatory clarification regarding Ethereum’s Proof of Stake operations.