Matrixport: Ethereum Price Currently Driven Mainly by Futures Positioning, Continued Downside Potential High

BlockBeats News, June 23rd, Matrixport released a daily analysis stating, "Although Bitcoin has attempted to rebound, considering the seasonal trend, the likelihood of a sustained breakthrough is not high. To maintain technical validity, Bitcoin needs to hold above $105,000. However, the bigger concern lies with Ethereum — as we have pointed out in our previous reports, leveraged traders have driven its price up in the absence of fundamental support.

We still believe that Ethereum's current price is mainly driven by futures positions, making it more vulnerable to downside risks. This position risk also explains the sharp drop in Ethereum over the past few days. With market leverage still at high levels, there remains a high probability of continued price pressure in the future."