Ethereum Struggles to Clear $2,800 Resistance Amid ETF Outflows and Upgrade Hopes

Ethereum is struggling to break through the $2,800 resistance level, which has been a barrier for the cryptocurrency since its latest recovery attempt. Despite recent institutional demand, the Ethereum price has been unable to sustain itself above $2,800, and has instead returned to around $2,680. US spot Ethereum exchange-traded funds (ETFs) have seen $118 million in net outflows across three trading sessions ending October 1, which may be contributing to the current selling pressure.

However, onchain data suggests that some investors are accumulating Ethereum, which could be a sign of support for the cryptocurrency. The upcoming Glamsterdam upgrade, scheduled to activate on the Sepolia testnet on October 6, may also provide a development catalyst for Ethereum. The upgrade includes changes to gas pricing and block-level access lists, which are designed to improve Ethereum's Layer 1 efficiency and scalability.

The Ethereum Foundation has confirmed that the upgrade will activate on October 6, and has stated that it will be a testnet deployment, not the mainnet launch. A successful activation of the testnet would demonstrate technical progress, but would not automatically create additional demand for Ethereum. A sustained price recovery would still require buyers to reclaim $2,800 and overcome broader market conditions.