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Sellers Dominate Ethereum Price Action, Outbidding Buyers by $570 Million

Sellers Dominate Ethereum Price Action, Outbidding Buyers by $570 Million

CryptonewslandCryptonewsland2025/09/08 11:14
By:by Patrick Kariuki
  • Sellers outbid Ethereum buyers by $570 million, signaling heavy market pressure.
  • Key support lies at $3,960 and $3,360 to prevent deeper declines.
  • Analysts expect Bitcoin dominance to rise as ETH shows weakness against BTC.

Ethereum’s ETH is struggling under heavy selling pressure, leaving traders uneasy about near-term prospects. After failing to reclaim all-time highs, ETH now faces a tougher road ahead. Derivatives data confirms sellers hold the upper hand, overwhelming buyers with massive orders. Roughly $570 million in sell orders have outweighed demand, raising alarms across the market. Analysts now debate whether Ethereum risks sliding below $4,000, or worse, sinking toward $3,300 in the weeks ahead.

$3,960 and $3,360 are the most important support levels for Ethereum $ETH ! pic.twitter.com/B7nKoTdXZv

— Ali (@ali_charts) September 5, 2025

Derivatives Data Signals Seller Strength

Ethereum futures data paints a clear picture of imbalance. Net taker volume skews heavily toward sellers, a sign of aggressive positioning. This behavior often appears near market tops, where momentum shifts and buyers lose steam. History warns that concentrated selling can trigger declines, and ETH may be no exception. Crypto analyst Ali Martinez identified $3,960 and $3,360 as critical support zones. Holding above those levels could preserve Ethereum’s broader structure.

Yet, buyers must defend with conviction, or the floor may collapse. Indicators like RSI also reflect weakening demand, reinforcing a cautious outlook for the short term. Meanwhile, price consolidation has created uncertainty. Bulls hesitate, while bears push harder. Consistently sell pressure chips away at confidence. Without a strong reversal, ETH risks falling into deeper waters where buyers hesitate to follow.

Rotation to Bitcoin Adds Pressure

Ethereum’s weakness extends beyond dollar valuation. Against Bitcoin, ETH has steadily lost ground in recent weeks. Crypto trader Daan Crypto Trades noted that most of Ethereum’s gains this summer came from one large entity rotating billions from BTC to ETH. With that momentum fading, the ETH/BTC ratio trends lower. Institutional flows into Ether ETFs supported price briefly, but Bitcoin now looks poised to reclaim dominance.

Analysts expect Bitcoin to outperform in September and October as capital rotates back. Benjamin Cowen projected Bitcoin dominance could climb past 60%, further weakening Ethereum’s relative strength. This shift does not spell doom for ETH. Instead, many analysts argue the rotation could be healthy. Bitcoin often leads during early market phases, setting the stage for altcoins later.

For now, Ethereum must weather this storm, holding above key supports while waiting for strength to return. Market cycles resemble seasons, with each phase bringing different challenges. Ethereum faces a cold front, defined by bearish momentum and waning demand. Yet spring often follows winter, and consolidation can lay the foundation for renewed growth.

Traders who prepare for volatility may find opportunity when sentiment shifts again. Ethereum faces mounting pressure as sellers outbid buyers by $570 million. Key supports at $3,960 and $3,360 remain crucial for defending structure.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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