Ethereum has moved deeper below the $2,300 mark, trading at $2,264 at the time of writing after losing 2.8% over the past day. The latest drop followed another wave of selling, with heavier volume and weak momentum keeping traders in a defensive stance.
Over the past week, ETH traded between $2,120 and $3,034, but the direction stayed firmly lower. The asset is down 24% in seven days and 28% over the last month, leaving it about 54% below its all-time high of $4,946.
Volume rises while traders cut exposure
Trading activity picked up as the market sold off. Ethereum recorded $47.25 billion in spot volume in the last 24 hours, a 21% increase. Derivatives data showed the same split: CoinGlass reported futures volume up 38% to $105 billion, while open interest slipped 1.18% to $27 billion.
That combination points to repositioning instead of fresh risk-taking. Turnover is climbing, yet outstanding positions are not expanding, which suggests participants are reducing exposure rather than building new leveraged bets on a rebound.
Transfer count climbs to roughly 1.17 million
On-chain data has added another layer of caution. In a Feb. 4 report, CryptoQuant contributor CryptoOnchain said Ethereum’s transfer count, measured on a 14-day moving average, rose to about 1.17 million.
Spikes of that kind have appeared before during periods of market stress. The report pointed to similar jumps in January 2018 and May 2021, both followed by steep price declines. A higher transaction count can reflect stronger network usage, but sudden acceleration can also signal broad repositioning and distribution during uncertain phases. The current reading does not confirm a market top, though it places Ethereum in a range where downside risk has historically become more acute.
Daily trend stays weak as $2,300 turns into a key level
From a technical view, Ethereum remains in a daily downtrend. Since failing near the $4,000 area, the chart has continued to print lower highs and lower lows. Attempts to rebound have repeatedly stalled around the middle Bollinger Band and near the 20-day moving average, showing that sellers still control short-term price action.
ETH has also dropped below the lower Bollinger Band, a sign that downside volatility is expanding rather than clearly exhausting. The loss of $3,000 weakened the broader structure, and that former support area has now flipped into resistance. The article also notes that the daily RSI remains in the low 30s, with little evidence so far of a lasting recovery.
If selling pressure slows and ETH can hold the $2,150 to $2,200 zone, a modest bounce may develop. A stronger shift in tone would require a move back above $2,300 and then toward the $2,700 to $2,800 range. Until those levels are reclaimed on a daily closing basis, upside attempts may stay limited and brief.