Key Takeaways
- Ethereum has fallen below $2,350, currently hovering near $2,253 after being rejected at $2,420
- An hourly chart shows a developing bearish trendline with critical resistance positioned at $2,300
- Last week witnessed $276 million in net inflows for Ethereum spot ETFs, with Fidelity’s FETH contributing $126 million
- More than 32% of the total ETH supply is currently locked in staking, reducing exchange liquidity
- Net Taker Volume has shifted into positive territory at approximately +$102 million since March, indicating renewed buyer interest
Ethereum experienced a steep decline from $2,465 down to $2,253 in a single aggressive move. The cryptocurrency is now trading beneath its 100-hour Simple Moving Average and below the 23.6% Fibonacci retracement level calculated from the recent downward swing.
Technical analysis reveals a bearish trendline developing on the ETH/USD hourly chart, with immediate resistance established at $2,300. The digital asset is currently maintaining support just above the $2,250 threshold, which market observers consider a crucial short-term floor.
Should Ethereum successfully defend the $2,250 level, a recovery attempt could materialize. Initial resistance barriers stand at $2,300, followed by $2,335. A decisive breach above $2,360—corresponding to the 50% Fibonacci retracement of the recent downturn—might pave the way toward $2,415 and potentially $2,465.
Conversely, failure to hold $2,220 could trigger further downside toward $2,200, followed by $2,150, with a possible extension to $2,120.
Institutional Investment Remains Robust
Despite bearish price momentum, Ethereum spot exchange-traded funds attracted $276 million in net capital during the trading week spanning April 13 through April 17. Fidelity’s FETH dominated with $126 million in weekly contributions, pushing its cumulative historical inflows to $2.36 billion.
BlackRock’s ETHA secured the second position with $99.2 million for the period. ETHA has now accumulated $11.83 billion in total net inflows. Grayscale’s ETHE was the sole fund experiencing outflows, shedding $16.7 million during the week. Combined net assets across all Ethereum spot ETFs currently total $14.26 billion.
Supply Dynamics Shift Market Balance
Currently, over 32% of the entire Ethereum supply is locked in staking contracts, effectively withdrawing substantial volume from active trading. This phenomenon diminishes available supply on centralized exchanges and gradually thins the order book depth.
Data from CryptoQuant indicates perpetual futures volume reached $34.74 billion against spot market volume of $14.29 billion, demonstrating trader preference for leveraged instruments over direct token purchases. Open interest declined 5.75% to $31.18 billion, while funding rates have shifted marginally negative, suggesting mounting bearish sentiment among derivatives traders.
Nevertheless, emerging indicators suggest accumulation may be underway. Net Taker Volume has reversed into positive territory at roughly +$102 million since March, contrasting sharply with the intense selling pressure observed during prior rallies, including a -$568 million reading when ETH approached $5,000.
As of the most recent market data, Ethereum trades below $2,350, with immediate price trajectory dependent on bulls successfully maintaining the $2,250 support zone.
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