3 Reasons Why Ethereum Plunged 5% Today

By Chris MacDonald – Dec 15, 2025 at 4:19PM ESTKey PointsMost mega-cap cryptocurrencies are down in today's session, but Ethereum's decline is among the most substantial.This move is related in part to various macro concerns investors are pricing into more speculative corners of the market. Additionally, some of Ethereum's technological weaknesses are coming to the fore, providing a bearish backdrop for this top token. These 10 Stocks Could Mint the Next Wave of Millionaires ›CRYPTO: ETHEthereumMarket Cap$355BToday's Changeangle-down(-4.57%) $141.04Current Price$2945.12Price as of December 15, 2025 at 5:01 PM ETA mix of macro and token-specific factors are pushing investors away from Ethereum and toward other assets.The charts are starting to get ugly in the cryptocurrency sector once again. Ethereum (ETH 4.57%) has been among the more dramatic movers intraday, with its 24-hour decline now amounting to 5.1% as of 4:00 p.m. ET. That move has been enough to push the world's second-largest cryptocurrency back below the $3,000 level, and provide a year-to-date decline for investors, many of whom may not have seen this move coming. ExpandCRYPTO: ETHEthereumToday's Change(-4.57%) $-141.04Current Price$2945.12Key Data PointsMarket Cap$355BDay's Range$2912.06 - $3171.0252wk Range$1398.62 - $4946.05Volume31B Let's dive into three key reasons why Ethereum is plunging today. What's the rub? Source: Getty Images. Ethereum's 24-hour move is more significant than that of the broader crypto market, which has declined a little more than 3% over the past day. That said, as I pointed out in a recent piece on Bitcoin (and I'd argue that many of the same macro factors impact both tokens), concerns about financial market stability and the health of the Yen carry trade appear to be affecting the largest and most liquid tokens in the market today. Additional concerns I've seen outlined in various media reports suggest that Ethereum whales (large investors holding more than 100,000 tokens) have traditionally been adept at absorbing selling pressure in the past. However, concerns that these so-called whales may capitulate at some point and be forced to sell have some retail investors reconsidering how much risk to take on these market dips. Advertisement Finally, concerns around competing high-speed and low-cost layer-1 networks that provide smart contract functionality in a similar way to Ethereum (but in a more cost- and energy-efficient manner) have raised the stakes for Ethereum's long-term viability. There's a growing thesis that Ethereum's status as the reigning default network for everything related to decentralized finance could come to an end at some point in the not-too-distant future. I'm not so sure about that last one, but I will say that these downside catalysts which have taken Ethereum lower today are essential to consider. As long as marketwide fear persists among investors, Ethereum's near-term price action may remain tilted toward the downside. About the AuthorChris MacDonald is a contributing Motley Fool cryptocurrency analyst covering digital assets and blockchain companies. Chris has more than 10 years of professional experience in venture capital and corporate finance. He holds an MBA in finance from the University of British Columbia’s Sauder School of Business.TMFChrisMacDRead NextDec 14, 2025 •By Dominic BasultoBetter Buy in 2026: Ethereum or XRP?Dec 13, 2025 •By Emma Newbery3 Predictions for Crypto in 2026Dec 12, 2025 •By Chris MacDonaldWhy Ethereum Sank 5% Today, While the Crypto Market Inched HigherDec 12, 2025 •By Dominic BasultoShould You Buy Ethereum While It's Under $5,000?Dec 11, 2025 •By Leo SunIs Ethereum a Millionaire-Maker?Dec 9, 2025 •By Chris MacDonaldHere's Why Ethereum Soared More than 6% Today, Breaking $3,300 for the First Time In Nearly a Month