The post ETH Risks 10% Correction As $4.3K Support Is Tested appeared on BitcoinEthereumNews.com.

Key takeaways: Ether slipped under $4,300 after failing to sustain momentum above $4,700, with $338 million in liquidations adding to the sell pressure. Analysts highlight $4,300 as a pivotal support, but the history of September weakness raises the risk of a 10% drawdown. An open interest contraction and negative funding rates suggest long positions are being flushed, which could set up a rebound if spot demand returns. Ether (ETH) failed to sustain momentum above the $4,700 resistance this week, slipping back under $4,300 region on Friday, where a critical ascending trendline support, popularized by Fundstrat’s Tom Lee, was breached. Ether one-day chart. Source: Cointelegraph/TradingView The move comes amid thinning market liquidity and follows a broader $338 million liquidation of Ether futures positions between Aug. 22 and Friday, raising the probability of a deeper correction into September. Lee and Fundstrat analyst Mark Newton flagged the $4,300 level as a pivotal floor on Tuesday, citing neutral relative strength index (RSI) readings and a still-bullish Ichimoku cloud structure as reasons for optimism.  However, the current situation seems bleak with September seasonality casting a shadow over the bullish setup. Data from CoinGlass indicates September has historically been Ether’s weakest month, with the altcoin posting its worst median returns of -12.55% during this period. That historical bias toward drawdowns suggests near-term risks remain skewed to the downside if Ether loses key support at $4,300.  Ether’s monthly returns since 2016. Source: CoinGlass Related: ETH possibly bullish ‘for years’ as megaphone pattern to $10K emerges: Analyst Rising divergence in Ether open interest trends Futures positioning has also turned cautious. According to analyst Amr Taha, the daily percentage change in ETH open interest (OI) registered a higher low compared to its last trough, but absolute open interest fell to a lower low on Binance. This divergence points to structural…

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Filed under: News - @ August 30, 2025 7:29 am