The amount released from the pre-sale is disturbing as you can see here http://ether.fund/market there were 60,102,216 ETH purchased in the pre-sale and of those the top 100 purchasers hold more than 40.7% of the ETH sale. ( these whales can ruin the price as we might already be seeing). In addition to this enormous sum of ICO coins there is a 12 million ETH Dev bounty, there are now so many people ( the devs and the 100 largest eth buyers) that are highly incentivized to dump on the market. Especially as the realization that side chains can independently do what ether wants to using layers on top of the already widely adopted Bitcoin blockchain.
Even if Ethereum worked as it should, one could simply fork it or adopt its features and instantly have a better system then the original because there wouldn’t be a number of coins (gas for the network) disproportionately distributed to those that participated in the initial coin offering or the large bounty paid out to Devs. For those that argue that the Devs are necessary for the success of the project I have two things to say. There exists no incentive to keep developing once you have been paid (it really seems from charts that devs are in fact cashing out), and secondly as Paul Sztorc mentions in his recent article http://www.truthcoin.info/blog/contracts-oracles-sidechains the Devs have left us with no more than an ambiguous framework for other people to develop on top of, those are the people that will need funding to maintain and grow the network not the ones that built the framework.
The Paul Sztorc Article http://www.truthcoin.info/blog/contracts-oracles-sidechains/
Link to the Tradingview chart