Long-Term Ethereum Holders Expand Positions While Market Faces Pressure: Rare Signal Emerges
Ethereum has slipped below the key $2,000 level again, reflecting renewed selling pressure across the broader crypto market. The move places ETH back in a technically fragile zone, where sentiment tends to deteriorate quickly as traders reassess risk exposure and liquidity conditions tighten. ETH remains below the shorter-term weekly moving average. The longer-term trend lines appear to be flattening, reflecting slowing momentum rather than clear trend continuation. Volume patterns also suggest distribution, with recent selloffs accompanied by rising activity, typically associated with risk reduction and position unwinding.Related Reading
Historically, similar setups have preceded either extended consolidation phases or deeper corrective moves. It usually depends largely on broader liquidity conditions and macro risk appetite. If buyers fail to reclaim the $2,000 region quickly, downside targets could shift toward previous high-volume nodes near the $1,600–$1,700 range. Where historical demand previously emerged.
Conversely, a decisive recovery above that level would improve sentiment. And would also suggest the recent move was primarily a leverage-driven flush rather than the start of a broader structural downtrend for Ethereum in this cycle. Until then, price action likely remains sensitive to macro liquidity shifts and derivatives market positioning dynamics overall.
Featured image from ChatGPT, chart from TradingView.com
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