ETH eyes $2,557 breakout attempt

Disclaimer: This is not financial or investment advice. You are responsible for any capital-related decisions you make, and only you are accountable for the results.

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• Interestingly, ETH's Open Interest increased over the past few days as prices declined, and the Funding Rate remained positive.
• This suggests that the selling came from Spot rather than Perps, and more leverage went on as the price declined, likely new Longs.

ETH's open interest:

Technical analysis

• ETH was rejected from the $2,700 and was not able to hold above the local horizontal support of $2,557.
• Price has since fallen in to the $2,400's although it is still holding above it's local uptrend line.
• The $2,420 line could be considered local support.
• On this price pullback, the RSI has meaningfully reset, which is positive.
• Price is slowly moving closer to the main downtrend line, although it does now have the horizontal level of $2,557 above the current price which may act as a resistance in the short-term.

Cryptonary's take

It's possible that ETH remains subdued and just range-bound at this lower range between $2,400 and $2,557, although we wouldn't rule out a deviation in to the $2,300's before potentially a quick recovery back to the upside. We still believe that the ETH lows were most likely in the back when we saw the $2,105 print in early August.