Ethereum (ETH) Market Analysis - After Reaching a Peak, the Cryptocurrency is Experiencing Increasingly Threatening Selling Pressure. Let\'s Examine the Future Prospects for ETH Together.

Ethereum is currently going through a decline influenced by the crypto market crash. Despite this selling pressure, key support has maintained a certain price level

After reaching a peak of $3,950 following the approval of Ethereum spot ETFs, selling pressure pushed ETH's price down in a short-term downtrend. However, buying interest at $3,250 has kept the crypto above a crucial price level. Despite being just below its 50-day moving average, remaining above the 200-day moving average provides some reassurance.

According to oscillators and price dynamics, ETH continues to drop, which is concerning as the decline intensifies. A closer examination of derivatives reveals that the open interest in ETH perpetual contracts has decreased along with the crypto's price, indicating an exit of positions by speculators.

The latest liquidations have predominantly been buying, which is coupled with a continuous drop in funding rates, demonstrating increasing selling pressure on ETH/USDT contracts. A liquidation heatmap over three months shows that the contact of the last two liquidation zones with ETH's price did not trigger sustained buying interest.

Currently, the most significant liquidation zones are above the current ETH price, notably around $3,700 and $3,900. Below the current price, the significant zone extends from just below $3,100 down to $2,800, where it appears more pronounced. Prices approaching these levels could trigger massive order executions, increasing the risk of heightened volatility for ETH.

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