ETH Price Risks Drop as Sell Orders Surge in Futures
Leading altcoin Ethereum (ETH) has seen a significant surge over the past week. Its value has climbed nearly double digits and is currently trading at $3,672.
However, hopes of a sustained rise towards the $4,000 mark may face resistance due to a significant increase in sell orders in the coin’s price. futures market.
Ethereum sellers determine price trends
CryptoQuant data shows sell orders surged in 2019 Ethereum futures marketIts taker-to-bid ratio has been below 1 since January 4. Currently, the ratio is 0.84.
This indicator tracks the ratio of buy orders to sell orders in the futures market. A ratio below 1 indicates that more sell orders were executed, reflecting a shift in market sentiment from bullish to bearish. Growing selling pressure could weigh on the price of ETH, potentially erasing some of its recent gains.
Additionally, the negative weight sentiment for the coin confirms the possibility of a price correction. For context, Weighted Sentiment for ETH Since December 17, it has mostly returned negative values. At press time, the value was -0.67.
This metric measures the overall sentiment expressed toward a specific asset, taking into account sentiment polarity (positive or negative) and the volume of social media mentions. As with ETH, negative weight sentiment indicates that the prevailing sentiment for the asset is primarily negative, indicating underlying bearish market conditions.
ETH Price Prediction: $4,000 Target Feels Far Away
ETH is currently trading at $3,654, just above the support formed at $3,332. If the futures market sell-off intensifies, Support levels will be tested. A breakout of this area could send ETH price down to $2,509, further away from the coveted $4,000 mark.
On the other hand, if sales activity stalls and buying pressure returns, it could push Ethereum price It broke above the $4,000 mark and headed towards a four-year high of $4,783.
Disclaimer
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