Ethereum prices fell for the second day in a row on Friday as institutional investors exited the asset given rising geopolitical risks.
The price of Ethereum (ETH) has fallen 4% from Wednesday’s high of about $2,400 to $2,300 at press time, and continues to consolidate, according to data from crypto.news.
Ethereum price fell as the Spot Ethereum ETF recorded net outflows of $75.94 million over the past day. This was the first day of outflows since April 8, ending a 10-day streak that had brought in more than $630 million into the product.
A break from the inflow trend suggests that institutional investors may be locking in profits from their positions. The change comes as both countries become wary of the political impasse over a ceasefire between the United States and Iran, while the Strait of Hormuz remains a major point of friction.
While it may not be a major cause for concern yet, market analysts are closely monitoring whether outflows from Ethereum ETFs indicate a long-term trend.
This comes as Ethereum’s daily chart also shows a cautious outlook. Notably, Ethereum price is currently testing support at the uptrend line, below which selling pressure could accelerate.
Technical indicators also seem to support the bearish view. The MACD line is forming a bearish crossover and the daily RSI is leaning towards the neutral threshold, a sign that the bullish momentum is fading.
Therefore, if Ethereum price breaks below the support of the uptrend line, the next logical move would be towards the next $2,200. If the asset loses this support level as well, the bears’ final target could be $2,000.
Conversely, a successful rebound above $2,400 could invalidate the bearish setup and pave the way for a recovery towards previous monthly highs.
