A key onchain indicator for Ether (ETH) has climbed to its highest level in over three years — a level last seen when ETH bottomed in the 2022 bear market cycle. The signal supports the case for an early bottoming phase despite weak spot demand and muted price action. Data suggests ETH may stabilize near a local floor around $2,000, though a sweep to lower levels remains possible.
The 30-day average of positive Ether net taker volume rose to $142 million on March 17, matching levels last seen on July 18, 2022. Net taker volume measures the difference between aggressive buyers and sellers in derivatives markets; a positive reading indicates market orders are leaning toward buyers. Similar spikes occurred during transitional phases in mid-2022 and August 2020, when traders repositioned and added exposure as prices stabilized near a bottom. (Source: CryptoQuant)
The Ethereum Coinbase premium index has been positive since Feb. 24, with elevated premiums signaling growing spot demand from U.S.-based traders. However, analyst Pelin Ay noted that despite reduced supply-side pressure, the price response remains muted, likely because prospective buyers still perceive current prices as expensive and are waiting for a clearer bottom. She summarized: “The supply side is bullish, but there are no buyers. It appears that buyers still consider the current price expensive and are waiting for a new bottom.”
Technically, Ether’s short-term support aligns with the 100- and 200-period exponential moving averages (EMAs). Price is compressing near an ascending trendline; a breakdown would focus attention on lower liquidity zones. Internal liquidity is concentrated between $2,100 and $2,000, with a pronounced cluster near $1,905. A larger liquidation cluster sits at $1,976, where over $3 billion in long positions are open. A move into that zone could trigger forced liquidations and create short-term imbalance, though it could also act as a demand zone if buyers step in. (Source: CoinGlass)
Trader EliZ highlighted $2,000 on the daily timeframe as a key threshold: maintaining price above that level keeps the medium-term trend intact, while a break below would favor aggressive short positioning and lower targets.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision. While we strive to provide accurate and timely information, Cointelegraph does not guarantee the accuracy, completeness, or reliability of any information in this article. This article may contain forward-looking statements that are subject to risks and uncertainties. Cointelegraph will not be liable for any loss or damage arising from your reliance on this information.