ETH whales show concern as on-chain and derivatives data diminish the likelihood of a rally to $4,000

The Ethereum total value locked (TVL) has fallen from 99.8 billion USD to 72.3 billion USD in a month, signaling reduced interest. Concerning derivatives data shows a 23% bearish long-to-short ratio, reflecting traders’ cautious stance.

The US job market is deteriorating with rising layoffs and declining consumer confidence, which impacts investor risks in ETH. Ethereum network fees have also decreased by 13%, raising inflationary concerns linked to reduced on-chain activity.