Bulls Take A Hit, But Sentiment Remains Positive
Ethereum’s price has dropped significantly in the previous several days, going from $3,880 to roughly $3,735. For long traders, this has meant significant liquidations—more than $55 million in the past three days compared to just $16 million for short bets.
Further proof of positive attitude comes from the financing rate, which shows borrowing and lending bitcoin’s cost. It has stayed positive, at 0.014%, implying that buyers still rule and that they expect the price to grow still more.
Open Interest Soars, Signaling Sustained Investor Interest
Ethereum still attracts strong investor interest even if the price has dropped. Reflecting the whole outstanding future contract count, Open Interest peaked on May 28th at $17 billion, the highest level in more than a year. This shows that investors are still very involved with Ethereum and believe in its long-term possibilities even with the recent turbulence.
Ethereum Price Forecast
Ethereum’s present price estimate of $3,940 by June 30th, meantime, points to a possible 2% increase. Although the technical indicators are still neutral, the high Fear & Greed Index of 73 shows investors’ general inclination of greed. In the near run, this can drive more short-term price fluctuation.
With 57% green days over the past month, Ethereum has shown a modest degree of volatility in the recent performance. Given the considerable price rise since the cycle low of $897, this points to a possible for ongoing momentum upward. It is crucial to keep in mind, nevertheless, that the market is dynamic and corrections can happen even in optimistic surroundings.
Featured image from Pexels, chart from TradingView
