Recently, the Ethereum (ETH) market has shown significant signs of cooling. Since the attempt to break the historical high on August 13 failed, the price of ETH has continued to decline. In the past five days, due to increased selling pressure from profit-taking, the price of ETH has dropped by 10%, from $4783 to $4129, and the market expects this downward trend may continue.

According to data analysis from Alphractal, as the price of ETH soars, the number of large holders (commonly known as "whales") holding over 100,000 ETH shows a significant downward trend. From over 200 whale addresses in 2020, there will be only about 70 remaining by 2025, which is currently at the lowest level in nearly a decade. This phenomenon has sparked market attention to the flow of large funds.

From the perspective of trader sentiment, the long-short position ratio of ETH has fallen to a 30-day low, currently at only 0.90. This data reflects a cautious attitude among Ethereum traders, with market bullish sentiment clearly waning. A long-short position ratio below 1 indicates that most traders expect prices to fall further, showing a strong bearish sentiment in the current market, with futures holders generally holding a pessimistic view on the future market.

On the technical front, the moving average convergence divergence (MACD) for ETH showed a "death cross" on the 18th, further confirming the dominance of sellers in the market. This negative technical indicator crossover suggests that the ETH price may continue to face selling pressure and increases the risk of a drop towards the $4000 level.

The current Ethereum market is at a critical turning point. Investors need to closely follow the upcoming price trends and changes in market sentiment to make informed investment decisions. At the same time, it is important to be aware of the high volatility in the cryptocurrency market, as there is a possibility of a rapid reversal in market sentiment and price trends.