Ethereum (ETH) has experienced a significant downturn, dropping to its lowest level since July, but recent data suggests a potential rebound. Key takeaways from the market analysis include: ETH derivatives positioning shows increased long exposure by large traders amid a stabilizing sentiment despite broader market weakness. Public companies holding sizable ETH reserves are trading at discounts, indicating investors’ lack of confidence in a near-term recovery. Despite this decline, Ethereum futures show some resilience as bullish signs emerge. The annualized funding rate on ETH perpetual futures has risen from 4% to around 6%, indicating a potential shift towards more balanced conditions. 📈 However, this rise is not without caution, as macroeconomic uncertainty and the ongoing US government funding shutdown continue to weigh on market sentiment.