Ethereum price weakens near $1,670 as ETF outflow and low open interest bite

BATMAN also flagged a possible head-and-shoulders setup forming on ETH. The pattern includes a left shoulder, head and right shoulder, with the neckline acting as the key level. A clean break below that neckline would confirm the reversal setup.

Michaël van de Poppe said Ethereum remains stuck in the middle of its range. He said ETH needs to break above $1,800 to regain upward momentum. Without that move, he expects retests near $1,505 or $1,385.

“No breakthrough above $1,800 is not a signal for continuation upwards,” said Michaël van de Poppe.

ETF outflows and Iran risk weigh on ETH

According to SoSoValue data, Spot Ethereum ETFs recorded $82.351 million in net outflows yesterday, marking the fourth straight day of net withdrawals. The outflows added pressure to ETH at a time when price has struggled to hold above short-term resistance.

As previously reported by crypto.news, ETH recently dropped below $1,700 as ETF outflows, weak RSI, Iran risk and shrinking derivatives activity weighed on market sentiment. That report said traders remained cautious as institutional flows and futures activity weakened together.

The wider macro backdrop also stayed tense. The Kobeissi Letter said President Donald Trump criticized a Senate War Powers Act vote tied to Iran, calling it “poorly timed and meaningless.” Geopolitical risk can reduce appetite for volatile assets, including crypto, when traders move toward safer positions.

Ethereum had briefly reclaimed a resistance zone near $1,733 earlier this week after bouncing from $1,704. That recovery did not hold. ETH has since moved back below the area that bulls needed to defend.

Indicators show weak recovery

Ethereum’s technical indicators show some short-term recovery signs, but not enough to confirm a trend shift. The MACD histogram was positive near 13.58, while the MACD line stood around -64.53 and sat above the signal line near -78.11.

That structure shows short-term bullish momentum after the earlier selloff. Still, both MACD lines remain below zero. That means the broader trend has not fully turned bullish.

The RSI stood near 37.81, slightly below its moving average at 38.56. RSI also remained under 50, which shows that buying strength remains weak. ETH has moved away from oversold conditions, but momentum still looks fragile.

For a stronger recovery signal, ETH would need RSI to rise above 50 and MACD to keep moving toward the zero line. Until then, the indicators show stabilization rather than a clear reversal.

Binance data points to caution

CryptoQuant analyst Amr Taha said Binance’s Ethereum reserves climbed to 3.86 million ETH on June 23, their highest level since May 12. That marked an increase of about 230,000 ETH from June 9, or roughly 6.3% in two weeks.

Bitcoin reserves on Binance moved lower during the same period, falling by about 9,200 BTC from early June. Stablecoin balances also shifted, with USDT reserves rising to about $39.7 billion while USDC reserves fell to around $5.7 billion.

USDT dominance traded near 8.75%, close to the 9% level last seen during the FTX collapse in November 2022. Traders often watch that level because rising stablecoin dominance can show risk aversion across crypto markets.

Meanwhile, Arab Chain said Ethereum futures open interest on Binance fell to about $4.16 billion, its lowest level in more than three months. Lower open interest may show that traders are closing positions or reducing leverage after recent volatility.

The decline also lowers the risk of large forced liquidations. Still, it shows weaker speculative demand for ETH. For now, Ethereum needs to reclaim $1,750 and then break $1,800 before the market can make a stronger bullish case.