Ethereum has sent the clearest buy signal in the derivatives market since the bear market of 2022. While this has not yet confirmed a reversal for the crypto market, the shift in tone is worth serious consideration. For months, Ethereum has been moving under invisible constraints, with sellers still dominating the derivatives market even as prices attempted to rebound. Now, this imbalance is finally showing signs of cracking, which is why Ethereum is poised to reclaim its position at the center of the crypto game.
A rare signal regarding Ethereum has returned. The observed metric is net trading volume, which measures the gap between aggressive buy orders and aggressive sell orders on derivatives platforms. When this metric is significantly positive, it indicates that buyers are willing to enter at market prices.
Since March, this flow direction has changed. Darkfost noted that its reading reached $102 million, a level not seen since the major downturn phase of 2022, when Ethereum's price hovered around $1,000. This is no small matter, indicating that a portion of the market is starting to become positive again.
The most interesting aspect of why Ethereum stagnated during the bull market may lie here. Ethereum is not lacking in bull market narratives but rather in solid support from the derivatives market. As long as sellers remain dominant, attempts at a rebound appear fragile.
This phenomenon was particularly evident during the subsequent peak near $5,000, when selling pressure reached $568 million. This is also why some rebounds seemed to lack momentum before truly taking off. Prices were rising, but the engine appeared out of sync.
Despite the change in flow direction, this does not mean Ethereum has won the race. The crypto market likes to turn ripples into certainties, but here, it remains important to stay cautious. Strong signals do not suddenly erase months of seller dominance.
The real question is sustainability. If buyers can maintain control and continue to absorb selling pressure, a more structured recovery scenario will become credible. This is indeed an important nuance in Darkfost's reasoning. He did not mention a confirmed reversal but rather pointed to a potentially significant initial phase.