High
Ethereum's open interest has plunged significantly, coupled with deeply negative funding rates, indicating strong bearish conviction among traders. however, historically, such extreme one-sidedness often precedes sharp reversals due to short squeezes. reduced open interest also lowers liquidation risk, potentially taming volatility. on-chain data points to strong support, while technical analysis suggests potential upside targets.
High
The source adheres to a strict editorial policy, focusing on accuracy, relevance, and impartiality. content is created by industry experts and meticulously reviewed, adhering to the highest standards in reporting and publishing.
Neutral
While current sentiment appears bearish due to declining open interest and negative funding rates, the article highlights that extreme shorting often leads to a quick reversal (short squeeze). ethereum recently climbed above $2,000, and strong on-chain support exists between $1,880-$1,900. technical targets suggest a potential move towards $2,150, $2,260, and even $2,500 if broader market tone and bitcoin's direction align, making the immediate direction uncertain but with potential for upside.