Ethereum (ETH) is experiencing price volatility, dropping by 1.4% and fighting to hold its position around $4,300. However, the derivatives market shows resilience.
Current Market Situation for Ethereum
Despite the recent price drop, Ethereum's open interest on Binance remains above $8.4 billion. This observation highlights that traders are maintaining their positions despite the asset's decline.
Open Interest and Volume Analysis
According to data from CryptoQuant, while ETH prices have fallen, open interest on Binance remains stable. Over the past day, the rate of open interest contraction has slowed, suggesting a gradual easing of active deleveraging among traders.
Market Outlook for October
Analysts are warning of a potential bearish false signal on ETH charts, cautioning traders against premature conclusions. Support levels are found in the $3,800-$4,100 range, and if the price can hold above this, it may confirm bullish sentiments heading into October.
Despite the current price drop, Binance's open interest remains high, indicating a potential market stabilization and positive changes ahead.
