Spot Ethereum prices fell below the crucial $4,000 level on Tuesday, facing increasing pressure from declining buying activity and outflows in spot Ethereum ETFs. This decline comes amidst growing bearish sentiment, reflected in technical chart patterns suggesting a potential price drop to $3,100. Analysts point to several factors contributing to this volatility, including the absence of sustained buying pressure alongside decreased ETF inflows. The current weakness has prompted speculation about a deeper correction, with some traders observing a classic bear flag pattern on the 12-hour chart. Key analysts are waiting for a decisive break above $4,000 to signify a potential reversal. If this level holds, it could signal the beginning of a new uptrend towards $5,000. However, a lack of fresh buyers has limited ETH’s ability to sustain its price above $4,000. The recent outflows from Ethereum spot ETFs further add to the bearish narrative. This decline is likely driven by a combination of factors including dwindling demand and increased selling pressure. While some traders remain optimistic about Ether’s long-term potential, particularly in light of favorable credit conditions and robust buying from institutions. 20% price drop is predicted as a result of bear flag pattern.