Ethereum’s price has been struggling to break above the $1,600 mark, with investors selling off ETH to invest in other DeFi-focused altcoins. However, the sell-off seems to have cooled, and ETH is now hovering around $1,590. This could signal a bottom formation, prompting strategic traders to re-enter new positions.
Derivatives data also suggests a potential bullish breakout for Ethereum. Despite a drop in volume, open interest has increased, indicating growing conviction behind existing positions. The long/short ratio on key exchanges like Binance and OKX remains decisively bullish, with smart money positioning for an upside break.
If derivatives metrics continue to hold steady and spot demand supports ETH at the $1,590 level, a breakout above $1,600 could be on the horizon. The next 48 hours will be crucial in determining the direction of Ethereum’s price.
In terms of price forecast, Ethereum is currently consolidating near $1,593, with Bollinger Bands suggesting an imminent volatility expansion. The RSI has stabilized, hinting at weakening downside momentum. A daily close above $1,667 resistance could confirm a breakout towards $1,913, while a drop below $1,420 could expose ETH to $1,300 lows. Rising volume delta suggests quiet accumulation, supporting a bullish resolution in the near term.
Overall, Ethereum’s price is at a critical juncture, with potential for a bullish breakout on the horizon. Strategic traders may find this a good opportunity to re-enter new positions, as the market sentiments and derivatives data signal a potential bullish reversal for Ethereum in the coming days.
