Ethereum price surpassed $1900 for the first time after August, rising more than 16% in a month. This comes as Bitcoin takes a breather near $35K and altcoins take the lead.
While the market sentiment remains positive, ETH price is under pressure as millions of open interest (OI) have been wiped out after a significant increase last week.
“Ethereum catches my eye on this Sunday. The Open Interest (OI) has increased by +$600m over the last few days. This will be volatile very soon,” said on-chain crypto analyst Maartunn. Traders anticipate ETH to hit $2000 as Bitcoin price holds $35K strongly.
Maartunn on November 6 noted that $400 million of OI was wiped out in a day, giving up mostly all gains in OI in the last few days. As a result, the ETH price is under pressure, probably for a pullback or a correction. With the market sentiment positive, a correction is unlikely. However, a retracement is most likely.
In addition, there are many ETH moves to crypto exchanges by whales amid altcoins’ recovery. A selloff by whales is typically considered a bullish move, but keep an eye on trading volume for an invalidation of a correction.
A bearish breakdown channel pattern would set the price for a 16% drop. Ethereum has experienced heightened volatility near the $1830 level, proving to be a formidable resistance.
ETH price fell 1% in the last 24 hours, with the price currently trading at $1,877. The 24-hour low and high are $1,863 and $1,911, respectively. Furthermore, trading volume has increased by 42% in the past 24 hours.