ETH saw a sell-off on the weekly open, but its net taker volume turned positive for the primary time in years. Will the bulls notice the signal and check out to push the worth of Ether higher?
Ether derivatives (ETH) data is starting to indicate a structural change. After nearly three years of seller dominance, ETH’s net taker volume has turned positive, potentially indicating renewed interest from futures traders.
Key Takeaways:
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ETH net taker volume reached $390 million since January 6, the most important buying imbalance since January 2023.
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Since 2023, positive taker volume has corresponded to the lows of the range and the continuation of upward trends.
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ETH stays above the $3,000 support level despite a negative CVD, indicating absorption by larger players.
ETH net taker volume highlights a rare trend reversal
Ether's net taker volume recorded a positive imbalance of roughly $390 million since January 6, marking the strongest buy-side dominance since January 2023. The metric tracks whether traders are aggressively buying at market prices or selling at bids. A positive value indicates long-term belief amongst traders.
Ether Net Taker Volume. Source: CryptoQuant
Historically, strong positive reversals in net taker volume since 2020 have followed early-stage troughs or uptrends slightly than local peaks. Sustained positivity typically reflects participants' positioning for continuation, often before the broader trend becomes apparent.
This shift follows years of sustained seller-side pressure, suggesting a shift in forward demand slightly than a short-lived squeeze. In past cycles, similar transitions preceded trend extensions lasting several weeks.
ETH is chasing underlying liquidity
Data from CryptoQuant showed that while ETH was trading near $3,000, the cumulative volume delta (CVD) remained negative at -3,676 ETH on Monday, indicating short-term selling pressure. Nevertheless, the 30-day correlation between price and CVD is around 0.62, suggesting that price motion remains to be partially supported by available liquidity.
This divergence indicates a correction phase and short-term traders seem like taking profits. The data shows that larger participants are regularly repositioning themselves and keeping ETH stable above $3,000.
Ether one-day chart. Source: Cointelegraph/TradingView
From a technical perspective, ETH has returned to its five-month control point from $3,050 to $3,140, in keeping with last week's Cointelegraph forecast. The overall uptrend stays intact so long as the every day closes are above $3,000. A break below this level would signal a bearish structural shift.
Hyblock data shows about $540 million in net long positions near $3,100, with one other $500 million liquidity cluster below $3,000. This positioning suggests that ETH price may proceed to fluctuate inside this range as liquidity rebalances.
ETH net long position concentration. Source: Hyblock
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