Ether’s
ETH$2,249.97
recent rally may be on shaky ground with one firm warning that last week’s price surge was largely fueled by speculative futures positions instead of a bump in organic demand.
In a note on Monday, Matrixport opined that “leveraged traders have pushed [ETH’s] price higher in the absence of fundamental support,” adding that this made the asset more susceptible to the “outsized decline” the asset saw over the weekend.
Ether slumped over 8% in a Saturday sell-off, leading losses among majors as traders reacted to the U.S. attack on Iranian nuclear sites in a surprise airstrike.
📊 Today’s #Matrixport Daily Chart – June 23, 2025 👇
Why Ethereum’s Drop Isn’t Over—and What Futures Positioning Is Telling Us Now#Matrixport #Bitcoin #BTC #Ethereum #ETH #CryptoMarket #CryptoTrading #ETHPrice pic.twitter.com/a6T3as8ar1
— Matrixport Official (@Matrixport_EN) June 23, 2025
The firm pointed to last week’s sharp drop in ETH as evidence of this position-driven fragility and warned that elevated leverage levels could continue to pressure prices.
At press time, ETH traded near $2,248 — down from last week’s high above $2,400 — as derivatives data showed traders aggressively hedging downside risk.
Options market signals echo that caution, as CoinDesk analyst Omkar Godbole noted over the weekend. According to data from Amberdata, ETH’s 25-delta risk reversals — a measure comparing the cost of puts versus calls — have skewed negative across June to July expiries. This suggests investors are paying up for protection against downside volatility.
QCP Capital further noted in a weekend market update that “risk reversals in both BTC and ETH continue to show a preference for downside protection,” adding that long holders are actively hedging their spot exposure.
Read more: SOL, XRP, DOGE Lead Altcoin Recovery After $1B Weekend Liquidation
