ETH fell roughly 5% during the latest selloff as rising Treasury yields, a stronger dollar and weaker risk appetite pressured crypto markets. At the same time, the derivatives market remains
ETH fell roughly 5% during the latest selloff as rising Treasury yields, a stronger dollar and weaker risk appetite pressured crypto markets. At the same time, the derivatives market remains heavily exposed, with open interest still above $33 billion, according to CoinGlass.
Long Liquidations Are Already BuildingThe latest decline has already punished leveraged bulls.
Around $165 million in ETH long positions were liquidated during the recent selloff, according to market data cited by Invezz, as Ethereum fell toward the $2,500-$2,550 area.
That matters because crowded positioning can turn an ordinary pullback into a faster cascade. When ETH falls through support, leveraged longs are forced to close automatically, creating additional market sell orders.
Ethereum is now sitting almost exactly inside the $2,500-$2,550 zone that several analysts had previously identified as an attractive buy area.
ETF Outflows Add Another Layer of PressureInstitutional demand has also weakened.
U.S. spot Ethereum ETFs recorded another $160.9 million in net outflows in the latest session, bringing five-day withdrawals to roughly $506 million, the largest five-day outflow since January.
That extends the weakness already visible earlier this week, when Ethereum ETFs suffered their biggest outflow in weeks.
The short-term picture therefore looks very different from mid-September, when falling exchange reserves and returning ETF inflows supported a tighter-supply argument for ETH.
