Calm Down: Ethereum Has Survived 8 Major 50% | Crypto News
Tom Lee, head of research at Fundstrat, is betting on a immediate bounce for Ethereum. He pointed to a sample stretching back to 2018: each time ETH dropped deep, it later recovered strongly.
That historical past has formed the tone of his remarks in Hong Kong, where he argued that earlier collapses ended with speedy turnarounds.
Tom Lee Backs A Quick Rebound
According to Lee, Ethereum has endured more than a 50% decline on eight separate events since 2018 and each time it got here back.
He used those past strikes as the idea for his view that another sharp recovery is probably going. Analysts often disagree about how a lot weight to give past cycles.
$ETH 100% V-Shape Record
Tom Lee highlights Ethereum’s eight V-shaped recoveries since 2018.
Tom DeMark, whose fashions are adopted by macro legends like Paul Tudor Jones and used across institutional desks, says a last undercut close to $1,890 would “perfect” the underside.
That… pic.twitter.com/j9zWoUOLgP
— SamAlτcoin.eth (@SAMALTCOIN_ETH) February 11, 2026
Market situations will not be similar now, yet patterns matter because merchants use them. Some analysts have highlighted the $1,890 degree as a possible low.
They said it is likely to be probed twice in an “undercut” before stabilizing. That sort of setup is common in unstable markets and is used to discover entry factors.
Staking Squeezes Liquid Supply
Reports be aware that staking demand stays strong even while costs fall. The validator entry queue has swollen to about 21 days, with roughly 4 million ETH ready to be accepted.
That has left more than 30% of the full provide locked up — about 36.7 million ETH. People are incomes roughly 2.80% APR on staked cash, a modest return by crypto requirements, but enough to persuade many holders to lock funds away.
When large sums are immobilized like this, tradable provide thins and price reactions might be amplified on both the best way down and the best way up.
Ethereum Price Action And Market Strain
Market strikes have been sharp. ETH slid to about $1,900 at the time of writing, down 5.4% in the last seven days, and has failed to maintain above $2,000 in current days.
Over the last 30 days, the token fell roughly 36%. Heavy liquidations have been recorded, with more than $1 billion in positions closed out as leverage was pressured to unwind.
That generated fast promoting and left merchants cautious. Economic data, geopolitical headlines, and anticipation of US inflation readings have added to the nervous temper. Some desks now deal with any bounce as tentative until volatility eases.
Whether that rebound comes fast or takes time, Lee’s stance is clear: sharp drops haven’t marked the end for Ethereum in the past. He sees the current stress as another chapter in a acquainted cycle, not a structural break.
Featured image from Unsplash, chart from TradingView
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