Ethereum is currently struggling for momentum and remains under immense selling pressure. The coin is trending in a narrow range between $2,100 and $2,800. Analysts see local resistance as a potential starting point for a leg up, but concerns remain.
Whales holding at least 10,000 ETH have been selling over the past month. Their actions could indicate a lack of confidence in Ethereum's short-term prospects, leading others to follow suit, resulting in a potential supply glut that could further depress prices.
Additionally, spot Ethereum ETFs have been disappointing. Despite an initial surge in May following the SEC's fast-tracking of 19b-4 forms, there have been significant outflows, especially from Grayscale's ETHE. The consistent trend of outflows since August 15 suggests that investors are relocating their capital due to bearish short-to-medium term outlooks for Ethereum.
