The digital currency market experienced a significant downtrend in March, with Ethereum (ETH) being one of the most affected cryptocurrencies. The price of ETH plummeted to its lowest level in the past two years due to reduced network activity and increased supply. As April begins, investors are questioning whether ETH can halt its downward trend. One of the main reasons for the Ethereum price drop has been the decline in network activity. CryptoQuant data shows a continuous decrease in the number of active Ethereum addresses since the beginning of 2025. Additionally, transaction and block fees have reached their lowest levels, leading to a decrease in ETH burning rates. Since burning Ethereum plays a vital role in reducing its supply, the reduction in this process has increased inflationary pressure on the network and negatively impacted the price. CryptoQuant analysts emphasize that Ethereum’s poor performance can directly be attributed to the decrease in network activity. The decrease in active addresses, fee drops, along with higher inflation rates, have intensified the downward trend of this asset. Currently, the Ethereum price has dropped to the $1,800 range, experiencing over a 60% decline compared to its peak in the current market cycle. However, some analysts believe that Ethereum’s inflation rate of 0.73% is still low compared to the past and does not pose significant concerns for investors. The future of Ethereum will depend on market sentiments and macroeconomic trends. If network activity increases and investors are once again attracted to this asset, a relative improvement in price can be expected. Otherwise, Ethereum may continue to remain under selling pressure. On the real-time digital currency price page, you can observe the prices of all tokens and cryptocurrencies live and instantaneously.
