Ethereum prices have fallen by more than 4% in the past 24 hours due to large-scale liquidations of leveraged traders, and the ongoing withdrawal of institutional funds is putting additional pressure on an already weak cryptocurrency market.

As leveraged long liquidations intensify, the selling pressure in the cryptocurrency derivatives market has further expanded.

Traders face liquidations of $462 million, with long positions bearing the majority of the losses.

US spot Ethereum ETF recorded a capital outflow of $365.2 million during the trading week from November 2 to 6.

Lookonchain reports that a trader who had previously reduced their open position had their 56,667 long positions in ETH liquidated.

Analysts are focusing on the resistance level around $2,200 for Ethereum, as well as the potential support level near $2,100.

According to the price data from crypto.news, Ethereum was traded around $2,146 on November 9th, with the price range on the previous trading day being between $2,108 and $2,243. During the selling pressure on Sunday, this cryptocurrency fell below $2,100 for a brief period, but then managed to recover some of its losses, although it remained below the previous support level of $2,200.

This decline occurred after another difficult week in the cryptocurrency market, with Bitcoin hovering below $75,000, and various major altcoins also recording losses. As leveraged positions were closed out and investors continued to withdraw funds from US spot ETH exchange-traded funds, Ethereum faced even greater selling pressure.

Leveraged traders suffer increasing losses, and Ethereum liquidations accelerate

CoinGlass data shows that within the past 24 hours, the total liquidation amount of Ethereum positions exceeded 462 million US dollars. Of this, long positions were liquidated for approximately 425 million US dollars, accounting for 92% of the total; short positions contributed 37 million US dollars.

Liquidation occurs when traders who have borrowed funds are no longer able to maintain the collateral required by the exchange. Their positions are automatically closed, and such transactions further increase market pressure at a time when cryptocurrency prices have already fallen.

A major Ethereum investor suffered significant losses during this decline. Blockchain analysis account Lookonchain reported that the trader's remaining 56,667 ETH long positions were fully liquidated, amounting to approximately $118.4 million at the time.

The account stated that this trader's cumulative losses amounted to $44.78 million. Previous monitoring showed that in October, this investor had reduced a larger position of 93,184 ETH by 36,517 to try to avoid liquidation.

Ethereum ETF continues to flow out, institutional demand is weakening

The selling pressure is not limited to the futures market; there has also been a net outflow of spot Ethereum in the United States (ETF) for a consecutive week.

According to the data from Farside Investors, these funds saw a total outflow of approximately $365.2 million from November 2 to November 6. On Monday, there was an outflow of $139.7 million, on Tuesday it was $85.3 million, and on Wednesday, there was a net inflow of $53 million.

However, this rebound was only temporary. On Thursday, investors withdrew $99.9 million, and on Friday, another $93.3 million was withdrawn. Among them, BlackRock's ETHA accounted for $90.8 million of the withdrawals on Friday.

As reported by crypto.news last weekend, in total, the outflow of funds from Bitcoin and Ethereum ETF over five trading days was approximately 1.65 billion US dollars.

Institutional derivatives positions also provide another cautious signal. AMINA Bank Derivatives Trading Director Andreja Cobeljic has previously regarded ETF demand as an important indicator to measure the buying strength of institutions, while pointing out that futures activities do not necessarily represent a clear bullish investment.

The next set of fund flow data will show whether Monday's trading will bring new demand, or yet another day of outflows.

Ethereum weakly follows the decline of the broader crypto market

During the trading session on Monday, Bitcoin traded around $75,200, while XRP and Solana also continued to face pressure. The previous decline on NASDAQ further exacerbated market concerns regarding risk-sensitive assets, which included cryptocurrencies as well.

Since trading around $2,800 in late September, Ethereum has been showing weakness. Multiple attempts at rebounding have failed to regain previous highs, keeping the asset within a downward price trend.

The recent fall below $2,200 has further reinforced this weakness, and traders have begun to pay attention to the $2,100 region as well as the psychological barrier of $2,000 below that.

Ethereum price analysis indicates a resistance level of $2,200

Technical indicators still favor the sellers, but Ethereum's trend of approaching previous lows has also attracted traders who are looking for opportunities for a rebound.

Relative strength indicates that the data is close to 32.94, approaching the 30 threshold which is generally considered to be oversold. The Aroon Oscillator indicator is at -28.57, and the Balance of Power indicator is at -0.14; both of these point to ongoing selling pressure.

Cryptography analyst More Crypto Online indicates that, according to his wave counting framework, Ethereum has reached the downward target range between $1,832 and $2,069.

The analyst believes that if the price breaks above $2,255, or breaks through the upper edge of the current price channel, it could be an initial signal of a possible short-term bottom formation.

Ethereum's immediate resistance level is still around $2,200, followed by $2,400. If it continues to fall below $2,100, the $2,000 range will once again become a focal point of attention, and the recent low of $2,081 is also another level that traders are keeping an eye on.

Disclosure: This article does not constitute investment advice. The content and materials on this page are for educational purposes only.