Ethereum Price Warning Fires Again After a 9% Drop Last Week

Ethereum's price is exhibiting a bearish Relative Strength Index (RSI) divergence for the second time in five weeks, a signal that preceded an 8.88% correction last week. However, underlying market conditions have shifted. Unlike the previous instance where whales sold off holdings, data now indicates whale accumulation. Furthermore, the funding rate in the derivatives market has flipped from negative (short-biased) to slightly positive (long-biased), contrasting with the short squeeze dynamic that fueled the previous rebound. While the core divergence remains, these changes suggest the current bearish signal might not lead to as deep a pullback. Key price levels to watch include $2,377 for invalidation of the bearish setup, with $2,252 and a demand zone between $2,067 and $2,085 as potential support levels if the price falls. A sustained drop in whale reserves could negate the positive shifts and lead to a deeper correction.

(Source：BeInCrypto)