Ethereum’s momentum has faltered as it struggles to maintain support above $3,400, with multiple factors converging to suppress bullish sentiment. The anticipated surge from spot Ethereum exchange-traded funds has yet to materialize, with tepid investor demand failing to provide the expected upward pressure. Derivatives market indicators reflect growing caution, with softening metrics across futures and options signaling diminished trader confidence. These challenges are compounded by broader macroeconomic uncertainties that continue to influence digital asset valuations. Despite these headwinds, Ethereum’s underlying blockchain activity demonstrates resilience, with consistent on-chain metrics suggesting sustained network utilization. The divergence between steady fundamental usage and weakening market sentiment presents a complex landscape for ETH investors. Market analysts note that overcoming the $3,900 resistance level would require significant shifts in both institutional participation and derivatives market dynamics. Current conditions suggest Ethereum may face continued consolidation in the near term as market participants await clearer signals across both crypto-specific and traditional financial markets.
