After its unsuccessful attempt to reach a new all-time high of $5,000 in August 2025, Ethereum seems ready to finally surpass this psychologically significant price threshold. A decline in Binance open interest suggests that ETH could be approaching a local bottom, ready for its next rise. A recent post by burakkesmeci indicates that Ethereum might be nearing a local bottom. The analyst emphasized the ETH open interest metric on an hourly timeframe for their analysis.
In their analysis,, local bottoms have been identified with an average decline of 14.9% over the past three months. In the spot market, these adjustments have typically resulted in an average drop of 10.7%. The analyst observed that reductions in ETH open interest have usually signaled impending adjustments in spot prices. On August 17, the Binance ETH open interest experienced a drop from $11.4 billion to $10.2 billion, reflecting a decrease of 10.52%.
On August 20, ETH OI saw a notable decline, falling from $13 billion to $9.7 billion, representing a correction of 25.38%. On September 13, ETH OI saw a notable decline, falling from $11.39 billion to $10.4 billion. The analyst remarked: It’s evident that when spot price increases are supported by the futures market, the trend evolves in a stronger way – similar to a plane flying smoothly with both wings working together. In a different situation, OI suggests potential adjustments. ETH OI, offers a chance to pinpoint local bottoms at an early phase. The analyst observed that, given the recent trends, it is possible to speculate that the ETH OI could drop to $9.69 billion. It also indicates that ETH is currently positioned in the local bottom zone. Nonetheless, the ETH price might drop more before hitting its local low.
In the most recent analysis, the Fund Market Premium has mostly remained neutral or positive from July to September 2025, indicating a revival in institutional interest. During this timeframe, ETH has surged from $2,500 to $4,400. For those who may not know, the FMP regarding Ethereum measures the price difference between futures contracts and the spot market. Currently, the market shows strong institutional support for ETH. This environment might allow Ethereum to maintain stability above $4.4K and potentially encourage further upward movement. Major target 6.8K. Furthermore, ETH exchange reserves are swiftly depleting. Recent analysis has predicted that ETH will hit $5,500 in September.