Ethereum Faces a Downturn: Price Stalls Below $3,000, ETF Outflows Continue

Ethereum Faces a Downturn: Price Stalls Below $3,000, ETF Outflows Continue

Ethereum price has fallen below the key $3,000 level, while spot ETH ETFs are seeing a fourth day of net outflows. The market is still being weighed down by fund outflows and declining derivatives activity, reflecting investor caution.

ETF Outflows and Declining Trading Activity

Investors pulled over $224 million from ETH ETFs on Monday, with BlackRock the biggest exit at $221 million. Total weekly ETH ETF outflows reached nearly $450 million, indicating a loss of confidence among institutional investors.

At the same time, trading volume fell 27% to $22.3 billion, signaling less interest from traders in keeping the price below key resistance. Derivatives data shows that market exposure is also decreasing, which is common during downtrends.

Technical Analysis: Bearish Signals Still Prevail

Ethereum is currently trading around $2,919, down 0.5% in the last 24 hours. The price is still in a bearish trend, with lower highs and lows. Bollinger Bands show low volatility, which means a significant increase is unlikely without a new catalyst.

The RSI index is approaching 41, confirming the prevailing selling pressure. Technical indicators such as MACD remain bearish with no clear signal of a reversal. The key area for a possible recovery is above $3,060-3,100; if the price falls below $2,900, a further decline to levels around $2,800 is possible.

Macroeconomic Uncertainty and Investor Caution

The overall situation is influenced by macroeconomic uncertainty and weaker interest from institutional players. Ethereum ETFs have seen an outflow of nearly $1.8 billion in the last quarter, indicating a slowdown in previous interest.

Conclusion

Ethereum is currently facing a bearish trend, ETF outflows, and weak market activity. If the market fails to sustain above the key $2,900 level, the trend could continue to deepen. Investors are advised to monitor technical levels and exercise caution in the current uncertain environment.

*This is not an investment recommendation.

The Coingarage Team