Ethereum's price has fallen below $2,000, currently trading around $1,950, as widespread sell pressure impacts the market. The cryptocurrency has declined 60% since August and 42% since mid-January, underperforming other major assets like Bitcoin and XRP. Contributing to the decline are sales from Ethereum founder Vitalik Buterin and significant offloading by derivatives traders, who have sold approximately 47,000 ETH ($120 million) in recent days to repay loans on platforms like Aave. The sell-off has been exacerbated by Ethereum's role as a primary asset for leverage in the crypto market, leading to forced sales as traders unwind positions. Institutional preference for Bitcoin over Ethereum, as noted by Anthony Scaramucci, and the struggles of ETH treasury companies like BitMine, which holds 4.29 million ETH, further contribute to the downward pressure. Despite Ethereum's dominance as a smart contract platform, current market conditions reflect a lack of buying interest, with ETH trading more on market sentiment than fundamentals.