Ethereum’s technical picture is complicated. On the long-term charts, ETH is located in a descending wedge, which is a technical indicator suggesting a decrease in selling pressure and a potential increase. A strong price breakout through this technical formation will yield ETH gains of around 60%, thus rising above the $3,000 mark.
However, ETF flow data paints a messier picture. On February 4, Ethereum ETFs shed $79.48 million, with BlackRock’s ETHA accounting for nearly 75% of withdrawals. Just six days later, on February 10, a modest $13.8 million trickled back in, mostly through Grayscale’s ETH fund. That inconsistency tells you institutions are repositioning, not committing.
The key support to watch sits near $1,943, where several forecast models converge. Below that, things get uncomfortable fast. On the flip side, a reclaim of $2,100 to $2,120 will be the initial indication of seriousness on the buyers’ part.
The direction of the next ETH break will most likely be dictated by the macro environment, including inflation data and Fed announcements coming from the United States. However, the tug of war between cautious institutions and whales continues to be a dominant theme, and traders will have to wait for a catalyst coming from the derivatives market and/or the exchanges.