Ethereum's potential for a price drop might be on the horizon due to persistent selling by BlackRock.

In the world of cryptocurrency, Ethereum (ETH) has been experiencing a turbulent week, with its price dropping below key technical levels and institutional sell-offs continuing.

The Relative Strength Index (RSI), a top oscillator used in technical analysis to measure the speed and change of price movements, has seen a significant drop for Ethereum. The RSI, which was at 87 in July, has now fallen to 51. This indicates a potential shift in the market sentiment towards Ethereum, with sellers gaining momentum.

The Ethereum token has also dropped slightly below the 25-day Exponential Moving Average, a common trend-following indicator that helps to smooth out price action by placing a greater weight on recent data points. This move below the average could signal a bearish trend in the short term.

The bearish Ethereum price outlook is largely attributed to the continued selling of Ethereum holdings by institutional players such as BlackRock. The financial giant, known for its strong positive stance on Ethereum, has been offloading its Ethereum holdings. On Monday, BlackRock moved coins worth $312.5 million to Coinbase.

This sell-off has had a significant impact on the Ethereum market, with the iShares Ethereum Trust experiencing outflows of $309 million on Friday. In the last five consecutive days, Ethereum ETF outflows totaled $446 million, a significant amount in the cryptocurrency market.

The Ethereum price peaked at $4,955 on August 24 but has since dropped to $4,350 today, marking a 13% decline from its August high. The coin will likely continue falling as sellers target the major S/R pivot point of the Murrey Math Lines at $3,750. The Murrey Math Lines are a set of trend lines used in technical analysis to predict potential price levels.

However, it's important to note that the bearish Ethereum price forecast for 2025 will be invalidated if Ethereum rises above the year-to-date high of $4,955.

Despite the bearish trend, the total stablecoin assets on the Ethereum network have jumped to over $154 billion, higher than other crypto projects. This suggests a continued interest and investment in the Ethereum ecosystem.

Moreover, the two lines of the MACD indicator, a common tool used in technical analysis to predict potential price trends, have formed a bearish crossover pattern. However, it's crucial to remember that the MACD is not a predictor of market direction but rather a momentum indicator that can help identify potential trend changes.

In conclusion, the Ethereum price is currently experiencing a downturn, driven by institutional sell-offs and a bearish MACD crossover pattern. However, if Ethereum can rise above its year-to-date high, the bearish forecast may be invalidated. As always, it's essential to do thorough research and consider multiple factors before making investment decisions.

Ethereum's potential for a price drop might be on the horizon due to persistent selling by BlackRock.