Ethereum RSI Hits Record Low as ETH Drops to $1,702, June 08

Ethereum fell to $1,702.79 on June 08, down 4.1% in 24 hours and 67% below its all-time high. The monthly RSI hit 40, its lowest reading since Ethereum launched in 2015. This extreme oversold condition mirrors technical setups that preceded major rallies in 2020 and 2022, though no recovery is guaranteed. Meyka rates ETHUSD a C+ with a 12-month target of $2,894, suggesting limited downside from current levels.

The Crash and Technical Breakdown

Ethereum plunged from $4,946 in August 2025 to $1,702.79 by June 08, erasing 67% of its value. The cryptocurrency hit a 2026 low of $1,536 in the past 24 hours. Analysts noted that Ethereum’s RSI reached its lowest level since launch, dropping to around 40 on the monthly timeframe. The Relative Strength Index measures momentum on a scale of 0 to 100, with readings below 30 considered oversold. Ethereum’s technical indicators show extreme weakness: the CCI stands at -200.39 (oversold), and the Stochastic oscillator sits at 8.57, both signaling capitulation selling.

Why ETH Fell Harder Than Bitcoin

Ethereum declined 16.3% over seven days, outpacing Bitcoin’s 13.4% drop. The gap reflects ETH’s higher volatility and weaker institutional support. Ethereum ETFs shed $168 million in assets this month after losing $540 million in May, while Bitcoin ETF outflows totaled $4.33 billion across 13 consecutive trading days through June 3. Lower ETH liquidity and fewer stable institutional buyers left the token more exposed to selling pressure. The ETH/BTC ratio has trended downward since 2021, indicating relative weakness versus Bitcoin.

Whales Buying While Institutions Exit

Large holders accumulated ETH during the crash despite ETF outflows. One whale purchased 35,723 ETH at approximately $1,563, investing $55.8 million. Another investor borrowed $142 million in USDT via Aave and accumulated 87,680 ETH at an average price of $1,620. However, this leveraged buying carries risk: the position has a health factor of 1.16 and faces liquidation if ETH drops to $1,354. Exchange reserves fell to 15 million ETH, a multi-year low, suggesting some holders are moving coins off exchanges to hold long-term.

What the RSI History Tells Us

In 2020, Ethereum’s RSI reached depressed levels before ETH rallied from $88 to above $4,800 by 2021. In 2022, another deep RSI reset preceded a rally from $880 to the 2025 all-time high. The current RSI reading of 40 is lower than both previous cycles, suggesting the setup is historically extreme. Meyka’s C+ grade reflects this mixed signal: the 12-month price target of $2,894 sits 70% above current levels, but the technical indicators show continued downside risk. The ADX reading of 35.33 confirms a strong downtrend remains in place.

Final Thoughts

Ethereum’s record-low RSI suggests capitulation, but Meyka’s C+ grade and $2,894 target indicate limited conviction. Whales are buying, yet leveraged positions risk cascading liquidations if ETH falls further. The technical setup mirrors past cycle lows, though execution remains uncertain.

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The content shared by Meyka AI PTY LTD is solely for research and informational purposes.  Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.