Ethereum (ETH) is showing signs of a potential shift in US investor sentiment as a key on-chain metric rebounds from deeply negative levels. According to a CryptoQuant report, the Ethereum Coinbase Premium Index, which compares ETH spot prices on Coinbase to other major exchanges, has recently experienced a noticeable upward surge. This index has been predominantly negative, indicating relatively weak demand and persistent selling pressure from US-based investors during Ethereum's prolonged consolidation below the $2,000 psychological level.
The recent strength in the index's move, though still below the neutral threshold, suggests that this selling pressure may be starting to ease. Historically, sustained positive readings on this metric have coincided with phases of stronger accumulation. If the index moves into positive territory, it would signal renewed spot buying interest from US market participants, which could help stabilize price action after the sharp corrective phase that followed Ethereum's late-2025 peak near $4,800.
Technically, Ethereum's price action remains under pressure, trading below all major moving averages and confined within a descending channel. The daily chart shows ETH fluctuating between static support around $1,800 and dynamic resistance in the $2,500–$2,600 region. A more immediate view on the 4-hour chart reveals the formation of a tightening triangle pattern, with the price nearing the apex, indicating that a decisive breakout is imminent.
The convergence of technical and on-chain factors is setting the stage for a potential directional move. A bullish breakout above the triangle's upper boundary could trigger a push toward $2,300–$2,400, especially if supported by the Coinbase Premium Index turning positive. Conversely, a breakdown below the $1,800 support could lead to a deeper retracement toward the mid-$1,600 range. The market's next impulsive move will likely determine the short-term trajectory, with improving on-chain demand from US investors potentially acting as a key catalyst for recovery.
