Ethereum's price is experiencing downward pressure due to a mix of market dynamics and external factors. Despite bullish signals like increased accumulation activity and a potential bullish divergence, Ethereum is struggling to break past the $3,400 resistance level. This struggle is compounded by broader market sentiment affected by fears of new tariffs announced by the Trump administration, impacting both traditional and crypto markets. Additionally, while there is a surge in Ethereum adoption, with a spike in active wallets and new addresses, these positive developments have not been sufficient to counteract the prevailing negative market forces.
The Volatility Shares Trust 2x Ether ETF (ETHU) has seen a notable increase, rising 3.81% to $7.08 as of 14:20 on Saturday, February 1.