Ethereum price started the week on a positive note, recovering 7.62% by Tuesday after a massive 14.22% correction in the last week.
However, on 28th January, ETH failed to break the $3,017 resistance level and declined 6.25% the next day. At the time of writing, ETH is slipping below the key support at $2,750.
If ETH closes below the $2,750 level, it could extend its decline towards $2,623. A close below this level could extend further losses toward the key psychological level at $2,000.
Technical indicators such as RSI and MACD on the daily chart are showing a strong bearish bias.
A decisive reclaim of the $3,000-$3,200 resistance zone is required for bullish bias to return. Until one of these levels breaks, price compression is likely to persist.
CoinGlass data shows heavy deleveraging. Open interest fell 10.9% to $34.6 billion despite volume jumping nearly 59%, indicating position unwinds, not fresh leverage.
Long liquidations dominated ($394.7 million vs $26.8 million shorts in 24h). The OI-weighted funding rate at 0.0016% signals near-neutral positioning; leverage has reset, but directional conviction remains weak.