Ethereum ETFs struggle: Is the market losing interest in ETH?

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ETH demand slows down as Ethereum ETFs outflows observed last week lead to weak sentiment but on-chain data may offer hopes of redemption.

Open Interest tanked, but top traders went long, indicating a possible shift ahead.ETFs have been experiencing continuous outflows recently, despite previously high hopes that ETFs would drive demand.

The Ethereum ETFs outflows may have had a heavy hand in ETH’s recent performance. The latter was consistent with the dampened sentiment, which consequently influenced low network activity. ETH’s RSI has been struggling to push above its 50% level, confirming the low bullish momentum. Despite this, its MFI shows that there is still some liquidity flowing into the coin, albeit in small volumes.A strong rally is not entirely off the table. ETH’s current predicament is the culmination of various factors, including ETF outflows and low on-chain activity.

ETH’s current price level may also be considered a healthy zone. However, it is currently full of uncertainty and this has affected its performance even in the derivatives segment.

 

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