The crypto market started October with a bang, led by Ethereum price reclaiming resistance at $1,700 and topping out at $1,750, while Bitcoin blasted through $28,000 resistance before hurrying back to $27,468 on Tuesday.

As expected, the US Securities and Exchange Commission (SEC) approved several Ether futures exchange-traded funds (ETFs) on Friday but trading kicked off for the first in the country on Monday.

The bullish outlook swept across the crypto market divide thanks to the hype around the ETFs’ approvals. However, as quickly as the uptrend occurred, prices rolled back, with Ethereum price down 4.3% to $1,653.

Ethereum Price Wobbles As Ether Futures ETFs Get Dull Welcome

Despite the excitement around the greenlighting of Ether futures ETFs, investors bought the rumor and sold the news. In other words, holders booked positions in ETH ahead of the approvals for short-term speculation and sold after the SEC’s green light.

Meanwhile, nine Ether futures ETF products that started trading on Monday barely managed to hit $2 million in total trading volume. According to Bloomberg ETFs analyst, Eric Balchunas, it was a “pretty meh day of volume… lower than I would have predicted.”

The dull show could imply that investors “prefer physical to derivatives” ETF products. However, the time of the launch cannot be compared to when Bitcoin futures ETFs launched in the US in 2021 at the peak of the bull market, hitting over $200 million volume in 15 minutes.

Unprecedented day today with multiple ETFs all launching at same time. No clear winner has emerged, all of them were pretty average, lower than I would have predicted, but its a long run and remember, these hold futures (ETF investors much prefer physical to derivatives) https://t.co/fKGOv8T7pP

— Eric Balchunas (@EricBalchunas) October 2, 2023

Valkyrie’s Bitcoin Strategy ETF, which tracks both Ether and BTC futures emerged as the most popular futures product, with a total of $888k on the first day. As reported, this product has been trading since 2021 but was modified to include ETH.

Ethereum price pulled back from the highs it briefly set at $1,750 as traders moved fast to book early profits. Prior to this spike, ETH had plunged to seek support at $1,564, allowing traders and investors to buy the dip ahead of the futures ETF news.

Several potential support areas tried to calm the storm but influence from bears overwhelmed Ethereum price, resulting in an ongoing retracement. With Ether trading below $1,700, the 50-day Exponential Moving Average (EMA) (red), the 100-day EMA (blue), and the 200-day EMA (purple), the path with the least resistance is bound to stay downward in the short term.

Short-term support at $1,650 will likely relieve bulls of the stubborn selling pressure, allowing Ethereum price to retest the descending channel’s upper boundary resistance – now support before reversing the trend.

The Moving Average Convergence Divergence (MACD) shows that buyers have the upper hand. Note that the MACD line in blue must hold above the signal line in red to support the bullish outlook. On the upside, investors may consider Ethereum out of the woods if support is secured above all moving averages as well as the resistance at $1,750.

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