Ether hits fourth $2,400 rejection; $2.5B liquidation risk

Ether fell 3.4% to $2,287 on Monday after being rejected at the $2,400 level for the fourth time since April 14. The decline left roughly $2.5 billion of leveraged long positions concentrated below the $2,150 support zone.

The token is trading below its 100-day exponential moving average, near $2,350, which has acted as dynamic resistance on the daily chart. Price action this month has formed a multi-top pattern as sellers absorbed buying on repeated retests of the $2,400 area.

On-chain liquidation data shows the bulk of leveraged long exposure sits below $2,150. A break of that zone could trigger forced liquidations, which market maps indicate would push price toward $2,050 and into the $1,900 area.

Open interest for Ether futures on Binance has declined to about $2.58 billion, a reset to levels seen when ETH traded near $2,200 earlier this month. The funding rate moved negative to roughly -0.013%, the weakest reading since February, indicating short positions dominate new activity while earlier long exposure has been trimmed.

The ETH/BTC ratio slipped under 0.032 BTC and below its 21-period moving average, removing a short-term support tied to prior upward attempts. A higher-timeframe support sits near 0.026 BTC, where buyers previously stepped in.

Michaël van de Poppe flagged relative weakness for Ether versus Bitcoin. Amr Taha observed that the combination of lower open interest and negative funding has left the market with lighter net leverage, a condition that could compress positioning if price holds near current levels.

Short-term traders are likely to watch intraday order flow and funding dynamics, while longer-term investors will watch whether Ether can reclaim the 100-day EMA and sustain a move above $2,400 to end the recent pattern of rejections.