TLDR:
- Ethereum rejected at $2.1K resistance after breaking support, confirming bearish structure remains intact
- Open interest declined 80M+ ETH across exchanges in 30 days, with Binance leading at 40M reduction
- Technical framework requires sustained reclaim of $2.1K-$2.15K range to shift bias back to bullish
- Derivatives market cleanup reduces leverage risk and may establish foundation for price stability
Ethereum continues to trade below critical support levels while derivatives markets show widespread deleveraging.
The asset sits at $1,958.53 as of this writing after failing to hold the $2.1k threshold. Meanwhile, open interest across major exchanges has contracted by more than 80 million ETH over the past month.
This dual pressure from spot price weakness and futures market retreat signals a period of market recalibration.
Technical Breakdown Points to Further Downside Risk
Ethereum’s price structure has followed a textbook pattern of support failure and failed reclaim attempts. The rising trendline near $2.8k marked the initial breakpoint in this sequence. Once that level gave way, the asset moved swiftly toward $2.1k support.
Market participants initially viewed the $2.1k zone as a potential floor for consolidation. However, that expectation proved premature as the level failed to contain selling pressure.
The subsequent drop carried ETH down to $1.7k before any meaningful bounce materialized.
Analyst Dami-Defi noted on X that the asset “bounced just enough to suck in hope” before retesting the broken $2.1k support.
That retest resulted in a clear rejection, confirming the zone had flipped from support to resistance. This behavior typically indicates continued weakness rather than bullish recovery.
$ETH update: this is basically the cleanest support lost → retest → reject you’ll ever see.
That rising trendline around $2.8k was the decider.
Once it snapped, we dumped straight into $2.1k.
We all wanted that to be the floor… and it wasn’t. $2.1k broke, we dumped to… https://t.co/hgdDAnOeNM pic.twitter.com/jvjt0MjXDk
— Dami-Defi (@DamiDefi) February 13, 2026
The current technical framework suggests limited upside potential while ETH trades below $2.1k. A sustained reclaim of the $2.1k-$2.15k range would be required to shift the bias.
Until such a development occurs, counter-trend rallies represent selling opportunities rather than the start of new uptrends.
Futures Market Contraction Reflects Cautious Positioning
Cryptoquant analyst Arab Chain reported that derivatives markets have undergone substantial position reduction across multiple platforms.
Binance recorded the largest decline with approximately 40 million ETH in open interest exiting over 30 days. Gate.io followed with more than 20 million ETH in reduced exposure.
Additional platforms showed similar trends with OKX declining by 6.8 million ETH and Bybit by 8.5 million ETH. These four venues alone account for roughly 75 million ETH in reduced open interest.
Source: Cryptoquant
When smaller exchanges are included, the total contraction exceeds 80 million ETH across the ecosystem.
This pattern indicates traders are closing positions rather than establishing new leveraged bets. The move reflects either profit-taking after extended positioning or risk reduction in response to volatile conditions.
High-leverage participants appear particularly active in unwinding exposure during this phase.
The derivatives market reset may ultimately create healthier conditions for future price discovery. Reduced leverage decreases the risk of cascading liquidations that amplify volatility.
This cleanup process often precedes periods of greater stability and can establish a firmer foundation for subsequent moves.
