Ether (ETH) price fell below $2,200 on March 9 and has struggled to recover since. The altcoin is down 14% in March and the decline has hurt investor sentiment, especially as the broader crypto market only dropped 4% in the same period.
Adding to the bearish sentiment, traders are also worried about further ETH price corrections after a 34% weekly drop in decentralized exchange (DEX) activity on the Ethereum network.
Blockchains ranked by 7-day DEX volumes, USD. Source: DefiLlama
DEX volumes on Ethereum dropped 34% in the last seven days, a trend that also affected its layer-2 solutions like Base, Arbitrum, and Polygon. The market slump hit some Ethereum competitors, too, with Solana’s DEX activity down 29% and SUI’s down 17%. On the other hand, BNB Chain saw a 27% weekly volume increase, while Canto surged an impressive 445%.
Ethereum’s negative volume trends include