ETHfi increased by 11% in 24 hours but bearish signals raise concerns.

Ether.fi (ETHfi), a liquidity staking protocol, has seen strong growth in the past 24 hours, following the third-quarter financial results report which showed revenue skyrocketing to 12.92 million USD—the highest since its launch.

Although the 11% increase during this period is facing pressures as sellers are tightening the market. This development suggests that a price decline may be ahead, putting ETHfi in a bearish risk situation.

The important question is whether this asset can maintain its position or will be under pressure from the downward trend. Coinphoton will analyze the factors affecting this development.

Ethfi in a critical area

The recent increase of ETHfi is based on active trading activity in the past weeks, as clearly shown on the 1-day chart. On September 11, this asset broke out of the bullish consolidation pattern—marked in orange—and began to fluctuate around the support level, where it has held firm for the past few days.

Source: TradingViewSince then, ETHfi has shown little movement in either direction, with prices fluctuating within defined ranges on the chart. Under normal conditions, support levels often act as a catalyst for a rally, but this has not happened in this case.

Instead, ETHfi continues to struggle at the support level, raising doubts about the buyers' ability to push the price higher.

The indicators raise warnings

The difficulties of ETHfi may be an early sign of a potential decline in the coming days, based on technical indicators. The Parabolic SAR ( has stopped and reversed ), placing points above the price, a clear indication that the sellers are in control of the market and are actively distributing.

At the same time, the Moving Average Convergence Divergence (MACD) indicator has formed a Death Cross pattern. This occurs when the green MACD line crosses below the orange signal line, indicating that bearish sentiment is increasing.

Source: TradingViewIf the Parabolic SAR continues to maintain points above the price and the MACD remains in a downtrend, ETHfi could drop further, breaking through the important support level it has been trading at for nearly 14 days.

Spot investors do not back down

On the contrary, spot investors seem to be showing patience, choosing to accumulate rather than distribute their assets. Data from CoinGlass shows that investors have consistently accumulated ETHfi over the past five days.

In just the past 48 hours, $3.37 million worth of ETHfi has been purchased, indicating that investors are increasing their participation despite bearish signals. If accumulation continues at this pace, the likelihood of ETHfi dropping below its support level will remain very low.

Source: CoinGlassInstead, sustainable buying pressure could create conditions for ETHfi to reverse the trend and potentially establish a stronger bullish trend on the charts.

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