Overview
- The July 31 double rejection around $1,915–$2,000 left Ethereum trading in the mid-$1,800s and brought immediate focus to the $1,850–$1,873 support band.
- Multiple technical signals point to weakening momentum, with a TD Sequential sell, bearish momentum divergence, and a breakdown of the recent ascending channel.
- Derivatives data show declining open interest and clustered liquidations, indicating that leveraged positions were trimmed and short-term positioning has become fragile.
- On-chain and institutional flows are mixed but material: spot ETF flows swung between outflows and inflows, Fidelity-linked wallets moved about 260,000 ETH in a transfer likely tied to custody rebalancing, Bitmine continued buying, and exchanges recorded net outflows that tighten available supply.
- A sustained close below roughly $1,850 would expose targets near $1,780–$1,740 and then $1,680 while a reclaim of $1,900–$2,000 would restore the July recovery; traders should watch daily closes, ETF flows, and large custody movements for clues to the next leg.