Why did the ethereum price drop today?

A surge of forced liquidations hit leveraged long positions as prices dipped into thin weekend liquidity. That triggered cascading closures across major exchanges. With fewer bids and risk-off sentiment in broader markets, losses extended. Once funding and open interest cooled, downside pressure eased, but confidence needs time to rebuild.

Are ETH liquidations over now?

Probably not completely. The largest wave often passes quickly, but smaller liquidations can follow if price retests lows or rallies fail. We watch for funding near flat, stable open interest, and improving spot volumes. Those signals suggest forced flows are fading and the market is shifting back to healthier trading.

What signals could support a rebound in ether?

We look for higher lows on the four-hour chart, neutral funding after being elevated, and steady open interest that grows with price, not against it. Rising spot volume on green days helps. If these align while macro risk stabilizes, the ethereum price can base and attempt a more durable recovery.

How should Canadians get exposure after this drop?

Use small sizes and scale in. TSX-listed crypto ETFs offer simple CAD access, while U.S. venues provide deeper liquidity if you can manage FX. Consider CAD hedged products where available. Avoid leverage until funding stabilizes and spot demand improves. Set clear stop levels and reassess if price undercuts recent lows.

Global Market Insights

ETHUSD Today: February 1 Long Wipeouts Knock Ether to Multi-Month Lows

ByHuzaifa Zahoor February 1, 2026

The ethereum price slid to multi-month lows on February 1 as forced long closures hit crypto futures. The pair ETHUSD led losses after crowded bullish bets met thin weekend liquidity and risk-off sentiment. Liquidations topped billions across major tokens, resetting leverage but keeping near-term downside risks alive. We break down what changed, how funding and open interest reset, and what Canadian investors can do now. All prices are in USD unless noted. Consider CAD effects when measuring returns.