Analyst Warns Ethereum Could Drop to This Key Level Before the Next Bull Run

• Ethereum is trading near $1,673 after gaining 3.6% in the last 24 hours, but some analysts continue to warn that further downside remains possible.
• On-chain data suggests $ETH could revisit the $700 range, a level that previously aligned with major market bottoms.
• At the same time, Ethereum’s network growth remains strong with nearly 195 million non-empty wallets, while futures activity on Binance points to renewed trader interest.

Ethereum ($ETH) is showing signs of recovery after rebounding from the $1,500 area, yet some market analysts believe the asset has not reached its final cycle bottom. Despite improving sentiment in recent sessions, several on-chain indicators continue to signal potential downside risk before the next major bullish phase begins.

One metric has nailed Ethereum $ETH last two market bottoms: Delta Price by @Alphractal.

Today, it sits near $700.

Since Delta Price reflects the relationship between investor cost basis and miner production cost, it has consistently highlighted deep accumulation zones.

If… https://t.co/LNkygeYlUV pic.twitter.com/X9uKAxi3If

— Ali Charts (@alicharts) June 10, 2026

At the time of writing, $ETH trades around $1,673 and is up 3.6% over the past 24 hours. The recovery has helped stabilize short-term sentiment, although the asset remains far below its previous cycle highs.

Ethereum Could Revisit Historical Accumulation Levels

Crypto analyst Ali Martinez recently highlighted Ethereum’s Delta Price metric, an on-chain indicator developed by Alphractal that compares investor cost basis with miner production costs. According to Martinez, the metric successfully identified the last two major $ETH market bottoms.

The indicator is currently positioned near the $700 level, which Martinez describes as a historically significant accumulation zone. If previous market patterns repeat, Ethereum could revisit that area before establishing its next long-term uptrend.

While such a decline would represent a substantial correction from current prices, many long-term crypto investors view deep pullbacks as opportunities to accumulate assets at discounted valuations. Previous market cycles also saw Ethereum experience major drawdowns before recovering and reaching new record highs.

Ethereum Network Growth Remains Strong

Despite recent price weakness, Ethereum’s underlying network continues to expand at a notable pace. Data from Santiment shows that the blockchain now hosts nearly 195 million non-empty wallets, significantly more than Bitcoin’s approximately 59 million.

According to the analytics firm, Ethereum is less than 5 million wallets away from reaching the 200 million milestone. The network’s growth continues to be supported by its leadership across decentralized finance, staking, tokenization, and broader on-chain activity.

Meanwhile, Ethereum derivatives activity is also showing signs of recovery. Data from CryptoQuant revealed that Binance recently recorded a new all-time high of nearly 3.7 million $ETH in open interest, highlighting increased participation from futures traders.

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