As overall market sentiment fluctuates more intensely, the downward pressure faced by Ethereum is gradually increasing. Multiple on-chain and market indicators are releasing potential signals of adjustment; although there are signs of fund accumulation in certain areas, the continuously weakening trading volume and insufficient buying momentum suggest that the short-term trend may continue to face pressure.
Market sentiment has turned cold, and buyer interest is weakening.
Despite some indicators showing that funds are continuously accumulating at low levels, the overall decline in trading volume highlights a decrease in market participation enthusiasm. As analyst Ali Martinez pointed out, the current pullback in ETH prices is more likely indicative of a 'market reset' rather than a trend reversal, reflecting the choice of some investors to take profits rather than a sustained increase in bullish confidence.
Movements of the eating order show increasing selling pressure.
On-chain data further reveals subtle changes in market structure. The 7-day moving average shows that the buy-sell ratio of Ethereum eaters continues to decline, with selling pressure significantly greater than buying. This structural imbalance exacerbates short-term market instability; if investors continue to prioritize cashing out, the risk of price declines will significantly increase.
Coinbase Premium Index releases signals of weak demand.
As an important tool for measuring investor behavior in the U.S. market, the Coinbase Premium Index has recently issued a warning. Although at the beginning of the month this indicator briefly turned positive, reflecting some investor expectations for ETH, it gradually weakened as the price approached $28,000 and then fell back. This shift indicates that while interest remains, the buying strength is insufficient to support further increases.
Declines in trading volume and open contracts indicate a cautious attitude among traders.
Another significant signal is the continuous decline in trading volume. As Ethereum prices approach the critical resistance range of $26,000 to $28,000, the trading volume has not increased correspondingly, reflecting a weak desire in the market to chase higher prices. Meanwhile, the decrease in open contracts also indicates that some speculative funds are withdrawing from the market, shaking overall trader confidence.
The bubble chart of spot trading volume also shows that overall activity has significantly decreased recently. This low liquidity starkly contrasts with the high trading volume during the previous upward phase, indicating that investors are currently in a 'wait-and-see' rather than 'entering' phase.
Sentiment determines short-term direction, and the key is whether fund willingness can return.
Under the current situation, the short-term trend of Ethereum will depend on the tug-of-war between bulls and bears. On one hand, continued pullbacks may stimulate some funds to enter at lower prices, forming new support; on the other hand, if the market fails to stabilize in key areas and selling pressure continues to mount, ETH still faces the risk of further declines.
Investors need to closely monitor several key signals in the future:
Does the eating order ratio turn positive?
Does the Coinbase Premium Index rebound?
Has the trading volume and open contracts stopped declining and warmed up?
In the short term, the cautious dominant market sentiment has not ended, and ETH investors should remain rational and patiently wait for the next clear directional signal to emerge.