Ethereum Price Surges on Decreased Leverage and Spot Demand
The Ethereum price has been trading at $2,690, up by 1.6% over the past 24 hours. This increase in value is largely due to a decrease in derivatives exposure and an increase in spot demand.
Open interest in Ethereum derivatives has fallen to 12.49 million ETH, its lowest level since March 1. This decline is a result of perpetual futures taker buying remaining mostly negative since last week, indicating that active traders remain cautious.
However, spot ETF flows have added a near-term complication, with September 29 seeing $2.81 million in net outflows, ending a seven-session inflow streak. Yet, whale accumulation and the week's earlier ETF demand offer a counterweight to this trend.
The current setup is a consolidation, not a confirmed breakout. The Ethereum price is currently situated within the recent $2,657.09-$2,737.26 intraday range. Support is concentrated around $2,657-$2,680, and a sustained hold there would preserve the current range. Losing it, however, would weaken the structure and raise the risk of another leg lower.