Is Ethereum price at risk of a drop below $2,400?

ETHUSD impact: Bearish near term, but with a potentially large liquidation-driven move rather than a confirmed trend reversal.

The failed push above $2,600 reinforces the view that the $2,535–$2,600 area is an active supply zone. More importantly, ETH has reportedly fallen back below approximately $2,520, weakening short-term momentum and leaving the market vulnerable to renewed selling toward $2,460 and then $2,400.

A break below $2,460 could have an outsized effect because leveraged long liquidations are concentrated around $2,466 and again near $2,391. With aggregate Ether futures open interest reported near $32.6 billion, a move through those levels could create forced selling, accelerating the decline toward $2,300. This is a market-structure risk, not simply a technical-chart signal.

The macro backdrop adds downside sensitivity. The article identifies the Federal Reserve decision scheduled for September 16, 2026 as a near-term volatility catalyst, with traders reducing risk exposure ahead of the announcement. A more restrictive-than-expected policy signal could pressure ETH through tighter liquidity, higher yields, and weaker appetite for speculative assets. Conversely, a dovish outcome could trigger a short squeeze, particularly because ETH has already undergone a rejection and may have accumulated bearish positioning.

Institutional demand provides an important counterweight: reported U.S. spot Ether ETF inflows remained positive, but they have not yet absorbed the selling near $2,535–$2,600. That suggests the immediate issue is not a complete loss of structural demand, but insufficient demand at current overhead resistance. Continued ETF inflows would reduce the probability of a deeper, sustained decline; renewed outflows would strengthen the bearish interpretation.

Market bias and scenarios:

• Bearish short term: Sustained trading below $2,460 would increase the risk of a move through $2,400, with $2,300 becoming a plausible secondary downside area.
• Neutral/mixed medium term: ETH remains above the reported daily Supertrend near $2,242, so the broader recovery structure is not technically invalidated yet.
• Bullish reversal case: Reclaiming $2,520, followed by a decisive recovery above $2,535–$2,600, would weaken the liquidation-cascade thesis and reopen attention toward the August high region around $2,700–$2,800.

Traders should monitor the September 16 Fed communication, ETH’s behavior around $2,460 and $2,400, futures liquidations and open interest, ETF flow data, and whether Bitcoin and broader risk assets confirm or reject the downside move. The principal risk to the bearish view is a dovish macro surprise producing a rapid short-covering rally before the liquidation levels are reached.