Market News
Ethereum Price Prediction: Risk of a Pullback to $2,400 Increases as Volumes Drop
Key Points:
- Ethereum (ETH) has been consolidating for a while, following its latest rally to the $2,800 resistance.
- Net inflows to Ethereum spot ETFs have been negative for six days in a row, as early buyers seem to be cashing out of their positions.
- ETH could drop back to a range between $2,400 and $2,600 before a rally toward $3.4K starts.
Ethereum (ETH) has barely moved in the past week, trading within a narrow range between $2,650 and $2,750 in the absence of a catalyst that can push it to higher levels.
It was our expectation that a drop in the odds of a rate hike in October could have pushed the price of ETH beyond its $2,800 resistance.
However, the crypto market seems ready to take a much stronger breather these days as the latest rally has stalled.
Ethereum ETFs Book Six Consecutive Days of Net Outflows
Wall Street seems to be progressively taking profits off the table after ETH’s climb from $2,400 to $2,800 in late September, as indicated by net inflows to exchange-traded funds (ETFs) linked to the top altcoin.
Data from SoSoValue shows that investors have withdrawn $207 million from these vehicles in the past 5 days. This has been the longest streak of outflows since late June.
This increases the odds of a pullback to the $2,500 – $2,400 range again, although the rollout of the Glamsterdam upgrade for the Ethereum blockchain could change the narrative completely.
This technical overhaul is expected to be released during the fourth quarter of the year, although no specific date has been set. As we discussed in a recent Ethereum price prediction, both the price action, this upcoming upgrade, and on-chain metrics are behaving similarly to April-May 2025.
Back then, ETH tanked at $1,400 and started to rally after the Pectra upgrade was successfully implemented on the mainnet. Ultimately, the rally pushed ETH to a new all-time high. We believe that the stage could be set for a similar scenario, as long as the $2,400 floor holds.
