Key Takeaways
- Ethereum declined 2.84% to approximately $2,670 on September 23 following resistance encountered near $2,789
- The session’s lowest point reached $2,648, establishing crucial support zones at $2,626 and $2,550
- Derivative open interest maintained levels around 13 million ETH, indicating restrained leverage engagement
- American spot Ethereum exchange-traded funds attracted $432.2 million across two trading sessions (September 21ā22)
- Despite the near-term correction, ETH continues trading above extended-period moving averages
Ethereum experienced a decline beneath the $2,700 threshold on September 23 following an unsuccessful attempt to breach the $2,800 resistance zone. The cryptocurrency touched an intraday bottom at $2,648 before finding equilibrium around $2,670.
This downturn reversed an upward trajectory that commenced in mid-September from approximately $2,400. ETH successfully penetrated previous resistance at $2,550 and advanced toward $2,789 before encountering selling pressure.
The asset began the trading session near $2,754 and achieved a peak of roughly $2,789. The reversal materialized rapidly, with the price descending through the near-term moving average positioned at $2,710.
Notwithstanding the correction, ETH maintains its position above the 4-hour 50-, 100-, and 200-period moving averages, currently at $2,586, $2,540, and $2,499 respectively. These technical indicators demonstrate the significant distance the rally covered before Wednesday’s retracement.
Institutional Demand Through ETFs Continues
American spot Ethereum exchange-traded funds demonstrated substantial interest leading up to the correction. According to Farside Investors, net inflows reached $270 million on September 21 and $162.2 million on September 22, accumulating to $432.2 million over the two-day period.
Upcoming flow data will reveal whether institutional purchasing persisted during ETH’s pullback from the $2,800 level.
Cryptocurrency analyst Ted Pillows identified $2,550 as Ethereum’s most significant liquidity concentration, indicating the asset might return to that zone before resuming upward momentum. He additionally highlighted that a major holder acquired $119.67 million in ETH within a single trading day, characterizing it as strategic accumulation.
The $2,550 region aligns closely with the 4-hour 100-period moving average at $2,540 and a significant retracement point at $2,532. These technical zones would become relevant only if ETH breaches the September 23 low of $2,648.
Derivatives Market and Blockchain Metrics
Open interest in Ethereum derivatives has remained stable around 13 million ETH since late August. While ETH’s price appreciated 70% from its June bottom, open interest expanded 60% to $34.8 billion in dollar terms ā a divergence indicating leveraged market participants have exercised caution.
On-chain activity has not expanded in tandem with price appreciation. Active wallet addresses and transaction volumes on the mainnet have remained stagnant or decreased throughout the previous three months.
Ethereum registered approximately $119 million in liquidations during the past 24 hours. Long position liquidations constituted $95.8 million of that figure, according to Coinglass statistics.
Short-term momentum indicators maintain a positive bias. The MACD remained above its signal line at 96.80 versus 83.87, while Aroon Up registered 85.71% compared to Aroon Down at 42.86%.
A CoinGlass liquidation heatmap reveals concentration zones near $2,700 and $2,650 ā price points that may experience additional pressure if the selling persists.
Ethereum would require reclaiming $2,710 and subsequently $2,789 to reinitiate the $2,800 breakout scenario. The most recent support at $2,648 represents the immediate downside level for market observers to monitor.
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