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One of the strongest derivatives signals Ethereum has displayed in months is flashing. The volume of futures trading has increased by over 1,250%, which is uncommon without a significant change in the structure of the market. This is not random noise; rather, it is deliberate capital rotation back into ETH rather than passive spot accumulation.
Ethereum price stays pressured
Technically, Ethereum is still under pressure on the price chart. The 200-day MA serves as a strong overhead ceiling around the $3,300-$3,400 range, and ETH is still trading below its important moving averages.
Price action has remained compressed and directionally undetermined as a result of recent attempts to reclaim this area being rejected. The structure is no longer solely bearish, though, as the market has moved from a steep decline into a tightening range, which frequently comes before growth.
The futures market is where the true signal is located. This kind of increase in futures volume suggests aggressive positioning as opposed to retail speculation. Leverage is being used by traders, indicating anticipation of a bigger move in the future.
Bulls are positioning themselves
The majority of this activity is skewed toward bullish positioning, because long/short ratios are still high, particularly among elite traders, which indicates that astute investors are placing bets on continuation rather than collapse hedging.
Data on liquidation supports this opinion. Long liquidations are comparatively contained, indicating that leverage is being added carefully rather than carelessly, even though short liquidations are still present. This type of positioning typically occurs close to points of inflection rather than at euphoric peaks. In other words, rather than being relaxed, the market is tense.
The source of the action is further confirmed by volume heat maps. Futures flow is dominated by major exchanges like Binance and OKX, which typically corresponds with directional movements in ETH rather than prolonged chop. Spot prices frequently lag behind when liquidity is concentrated in derivatives.
Nevertheless, this does not mean that prices will go up. Increased leverage is reciprocal, and the same futures pressure may accelerate the decline through liquidations if Ethereum is unable to firmly regain the $3,200-$3,300 range. The next few meetings are important.
Arman Shirinyan
Caroline Amosun