During recent trading activity on the Binance cryptocurrency exchange, 72% of ETHUSDT traders went long. This compelling sentiment is revealed through the CoinGlass analytics platform. This raise in long positions is more noticeable because it occurs after a week Ethereum in a downtrend.

The sturdy tilt towards long positions suggests that most traders are confident that Ethereum’s price will recover in the coming week. On the other hand, 27.97% of Binance traders still have low positions on ETHUSDT.

ETHUSDT Long Positions Surge: What’s Behind It?

According to data from CoinGlassETHUSDT traders are currently leaning towards a bullish Ethereum price in the coming weeks. It is worth noting that the data is mainly confused by ETHUSDT perpetual investors.

The data shows that the number of traders opening long ETH positions on Binance now significantly outweighs the number of traders opening low positions by a ratio of 2.58, highlighting the bullish sentiment among some groups of traders.

At this point, it is unclear why most of Binance’s perpetual investors are long Ethereum, other than the general bullish sentiment for the long term as there are no expiration dates for their positions. 72.03% have open long ETHUSDT positions in the last 24 hours.

Meanwhile, 27.97% of ETHUSDT investors remain cautious and have taken low positions in the same time frame. These traders may be skeptical about Ethereum price recovery in the long term. In comparison, 58.15% of BTCUSDT traders are long and 41.85% have low positions opened in the last 24 hours.

However, looking beyond Binance and to the broader cryptocurrency market, the mood seems less confident. Data from aggregated cryptocurrency exchanges shows that spot traders are taking a more neutral approach to Ethereum, with market participants evenly split between buyers and sellers. Specifically, the ETH Exchange long to low ratio shows that in the last 24 hours, 49.05% of market participants are buyers and 50.95% are sellers.

What’s next for Ethereum’s price?

While long positions on Binance suggest confidence in growth, the mood among spot traders is neutral indicates a more cautious approach. At the time of writing, Ethereum is trading at $2,420. According to Coinmarketcap data, the altcoin is currently down 8.38% in the last 24 hours.

Technical analysis shows that Ethereum is retest of the lower trend line and is on the verge of a downward break. If bulls fail to maintain this trend line, there could be a cascading decline of another 10.7% towards $2,150. On the positive side, a bounce in this trendline could push the cryptocurrency higher and test $2,700 again as October continues.

Featured image from Pexels, chart from TradingView