Ethereum (ETH) fell 1.77% in the past 24 hours, with daily trading volume dropping 6% and Open Interest sliding 3.2%. Data shows that bullish derivatives traders faced approximately $67 million in liquidations since July 22, forcing sell orders that increased sell pressure. The funding rate remains positive but has declined from +0.0088% in early July to +0.0054%, indicating cooling demand. The taker buy/sell ratio, measuring aggressive buying versus selling volume, fell deep into negative territory recently, though its 7-day moving average has not slipped below zero like in May.
The price of Ethereum declined 1.77% in the past 24 hours, with daily trading volume dipping by just over 6%. Open Interest has slid by 3.2%, and data shows that long liquidations helped explain the recent price drop.
Bullish derivatives traders faced around $67 million in liquidations measured from July 22. These liquidations forced sell orders to close positions in perpetual markets, increasing sell pressure on ETH.
The funding rate was positive but declining, according to data. Since the first week of July, the 7-day moving average of the funding rate has dipped from +0.0088% to +0.0054%, a mildly positive reading.
The taker buy/sell ratio measures the proportion of aggressive market buying versus selling volume. This metric fell deep into negative territory recently, though its 7-day moving average has not slipped below zero as it did in May.
Whale accumulation and improved ETF demand were reported recently. The network’s validator queue has dropped to zero with no waiting time, signaling conviction from long-term stakers.
The price charts told a different story. On the 1-day timeframe, the swing structure remains firmly bearish, with a breakdown below the February low at $1,742 in early June confirming this. At the time of writing, Ethereum was experiencing a price bounce but had not managed to reach key Fibonacci retracement levels.
Another set of Fibonacci retracement levels was plotted based on the late May-early June selloff, when ETH raced lower from $2,043 to $1,510. Earlier this week, the 78.6% retracement level had been tested.
ETH bulls have faced a setback from the resistance level at $1,929. The 4-hour and 1-day timeframes were in agreement on a bearish bias, with a price drop toward $1,510 appearing likely. A rally beyond $2,043 would invalidate this bearish case.
