Market analysts say Ether (ETH) continues to face “downward pressure” that could trigger another sell-off in the ETH price as investors focus on the support at $1,800.

Key takeaways:

• Ether faces downward pressure as elevated leverage and positive financing rates amid falling prices signal volatile market conditions.
• Analysts say ETH needs to maintain the support zone at $1,800-$1,750 to avoid a deeper correction.

Ether price indices suggest that downside risks remain

Analysts noted several causes of the drop in ether potentialincluding an elevated estimated leverage ratio and positive funding rates amid a “weakening pricing structure,” according to CryptoQuant analyst PelinayPA.

The chart below shows that Ether’s estimated leverage ratio (yellow line) remains relatively elevated at around 0.74.

Related: Bearish ether is at risk of a $2 billion decline as compact positions rise around $2k. dollars

Since mid-April, the funding rate (blue line) has remained mostly positive, meaning long positions continue to dominate the market. Meanwhile, the RSI (purple line) is closer to the oversold zone at 31 and has not yet “generated a convincing recovery signal,” the analyst notes he said in Friday’s QuickTake analysis.

“Leverage remains high and longs continue to dominate, but price continues to struggle as the RSI reflects weakening momentum,” the analyst said, adding:

“Overall, this combination suggests that near-term downward pressure in the ETH market remains the dominant pattern.”

ETH: Funding rates and leverage ratio

Under normal market conditions, increasing leverage and rising financing rates are usually accompanied by sturdy price expansions. However, in this case leverage remains high while price continues to see lower lows.

“But the key signal is that the increase in leverage was accompanied by strong selling pressure,” fellow analyst Amr Taha he said in another QuickTake note.

The chart below shows that Binance’s cumulative net audience volume has dropped to approximately -$744 million, which is the highest negative reading since April 6, 2026.

Amr Taha added:

“This means that new leverage entered the market while aggressive sellers were still in control, making the setup more volatile than a pure, bullish expansion in open interest.”

ETH: Total net recipient volume on Binance. Source: CryptoQuant

This suggests that market structure is driven by derivative positioning rather than spot market demand, resulting in a weaker overall setup.

Failing demand is also perceptible in US Ethereum spot funds (ETFs), which continue to record enormous outflows, indicating dwindling institutional interest. These ETFs have seen thirteen consecutive days of outflows totaling $695 million. The net outflows of $121 million reported on Thursday marked the largest withdrawal in two weeks.

Spot Bitcoin Ether flow chart. Source: SoSoValue

As Cointelegraph reporteda break below key support at $2,000 and increased whale selling indicate additional downside risk to the ETH price in the near term.

The price of ether must remain above $1,800

Ether’s price decline of 7% over the past three days has seen it lose key support at $2,000 as bears gain momentum.

Traders are currently eyeing key levels lower, including the demand zone at $1,800.

“A good spot buy will be in the key area around $1,700-$1,800” – Analyst Suraj Jha he said in a Friday post on X, adding:

“A confirmed break below this level could shift the structure lower and open a continuation of declines.”

Fellow Crypto Analyst Patel he said Ether’s technical structure remains “bearish until we recover $3,050.”

The ETH/USD pair “needs to hold $1,750 to maintain its long-term uptrend,” the analyst said, adding:

“If $1,750 falls, accumulation zone 2 will be $1,500-$1,400, which is a huge discount for long-term holders.”

ETH/USD 2-day chart. Source: X/CryptoPatel

A daily candle drop below $1,750 could trigger another sell-off episodefirst towards the April 2026 low of $1,550 and then to Macro for 2022 lowest around $1,000as shown in the daily chart below. This would result in total losses of up to 47% from the current price.

ETH/USD weekly chart. Source: Cointelegraph/TradingView

As Cointelegraph reportedafter losing psychological support at $2,000, the ETH/USD pair may then move towards the $1,900-1,750 zone, which buyers should aggressively defend.