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In recent trading activity on cryptocurrency exchange Binance, 72% of ETHUSDT traders took long positions. This interesting sentiment was revealed by the CoinGlass trading analytics platform. This spike in long positions is even more pronounced because it comes a week later Ethereum is trending down.
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The strong bias towards long positions indicates that most traders are confident that the Ethereum price will rebound in the coming week. On the other hand, 27.97% of Binance traders still hold short positions on ETHUSDT.
ETUSDT Long Positions Rise: What’s Behind It?
according to Data from CoinGlassETHUSDT traders are currently leaning towards a bullish price for Ethereum in the coming weeks. Notably, the data is mainly confused by frequent traders of ETHUSDT.
The data reveals that the number of traders currently opening long positions in ETH on Binance significantly outnumbers those opening short positions by 2.58, highlighting bullish sentiment among some groups of traders.
At the moment, it is not clear why the majority of Binance frequent traders are long on Ethereum, other than just a general long-term bullish sentiment, as there are no expiration dates on their trades. 72.03% have long positions on ETHUSDT opened in the last 24 hours.
Meanwhile, 27.97% of ETHUSDT traders remain cautious and took short positions during the same time frame. These traders may be skeptical about Ethereum’s long-term price recovery. In comparison, 58.15% of BTCUSDT traders are long, while 41.85% have open short positions in the last 24 hours.
However, looking beyond Binance and into the broader cryptocurrency market,… Sentiment appears to be less bullish. Data from aggregated cryptocurrency exchanges shows that spot traders are adopting a more neutral stance on Ethereum, and market participants are evenly split between buyers and sellers. In particular, the long/short ETH ratio on exchanges shows that 49.05% of market participants are buyers, while 50.95% are sellers in the past 24 hours.
What’s next for Ethereum price?
While long positions on Binance indicate confidence in the rally, sentiment is neutral among spot traders Indicates a more cautious outlook. At the time of writing, Ethereum was trading at $2,420. According to data from Coinmarketcap, the altcoin is currently down 8.38% over the past 24 hours.
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Technical analysis It appears that Ethereum is Retest the lower trend line It is about to break down. If the bulls are unable to hold this trend line, the price could fall another 10.7% towards $2,150. On the positive side, a bounce on this trend line could push the cryptocurrency to the upside and retest the $2,700 level as October continues.
Featured image from Pexels, chart from TradingView
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