Ethereum price today: $2,040

• Ethereum has declined by roughly 40% over the past ten days as major whales capitulate.
• BitMine's Thomas Lee says ETH could see a V-shaped recovery, adding that the top altcoin has experienced similar declines seven times in the past eight years.
• ETH could rise to test $2,380 if it breaks above $2,100.

Ethereum (ETH) had one of its sharpest historic declines over the past 10 days, shedding 40% of its value and briefly sliding below $2,000.

The dip also saw ETH move below its realized price, or the average cost basis of investors — an occurrence that has historically accelerated selling pressure as investors cut losses.

Notably, a key onchain whale Trend Research, which accumulated 792,532 ETH worth $2.59 billion through leveraged borrowing from Binance, has deposited 772,865 ETH back into the exchange as prices approached its liquidation mark, losing $747 million in the process. Trend Research's remaining balance is 21,301 ETH, according to data compiled by smart money tracker Lookonchain.

Retailers or wallets in the 100-1K and 1K-10K bracket are also distributing heavily, offloading 820,000 ETH over the past week.

Ethereum could see a V-shaped recovery

Meanwhile, Ethereum treasury firm BitMine Immersion (BMNR) is also seeing heavy unrealized losses of over $7 billion on its 4.28 million ETH holdings following the decline. BitMine Chairman Thomas Lee noted in a Friday X post that ETH has seen similar declines seven times in the past eight years, with drawdowns of 60% or more.

However, Lee highlighted that ETH has often seen a V-shaped recovery after such periods of intense decline. "The best entry points for crypto and equities come after a decline. This is a time to be looking for opportunities," added Lee.

Lee's statement comes as Ethereum co-founder Vitalik Buterin responded to an X post, saying that "ETH is a store of value (SoV) and one of the most important apps on Ethereum."

Ethereum Price Forecast: ETH tests $2,100 after bounce off $1,740

Ethereum saw $136 million in futures liquidations over the past 24 hours, led by $87 million in short liquidations, per Coinglass data.

ETH bounced off the $1,740 support level on Friday after its largest decline since the October 10 leverage flush. The top altcoin is testing the $2,100 level on Saturday and could rise to $2,380 if it breaks above it. However, a rejection could send it back toward $1,740.

The Relative Strength Index (RSI) and Stochastic Oscillator (Stoch) slightly retreated from oversold territory, indicating a modest drop in bearish momentum.