Ethereum Whales Snap Up $1.6 Billion ETH As Selling Declines
Ethereum is attempting to recover after a prolonged decline, with whale investors purchasing nearly 460,000 ETH ($1.6 billion) over four days, signaling renewed market confidence. The reduced selling pressure from long-term holders and whale accumulation are creating early signs of stabilization. Ethereum's price is currently $3,540, struggling to surpass the $3,607 resistance level to counter its month-long downtrend. If unsuccessful, Ethereum may slide back to support levels at $3,287 or $3,131.
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Ethereum's Struggle for Stability
Ethereum is attempting to stabilize after an extended decline that raised concerns about its ability to stage a recovery. ETH has struggled to generate upward momentum for most of the month. However, shifting investor behavior now suggests the situation may be changing. Declining selling pressure and aggressive whale accumulation are creating early signs of strength.
Whale Accumulation Signals Confidence
Whale activity has become a key driver of Ethereum’s current market sentiment. Addresses holding between 1 million and 10 million ETH have accumulated nearly 460,000 ETH in the last four days. This haul, valued at more than $1.6 billion, indicates strong conviction among large holders that Ethereum is positioned for a rebound.
Whale accumulation not only signals renewed confidence but also highlights that ETH’s discounted prices are seen as opportunities by large investors. Historically, large purchases during periods of market weakness have preceded recovery phases, hinting at potential bullish momentum.
Reduced Long-Term Holder Selling
Beyond whale activity, Ethereum’s macro momentum is also showing improvement. The Age Consumed metric is declining, indicating a slowdown in long-term holder (LTH) selling. This metric tracks the movement of older coins, and smaller spikes suggest fewer longstanding investors are parting with their holdings.
When long-term holders hold rather than sell, it reduces selling pressure and helps stabilize Ethereum’s price action. Combined with whale accumulation, these factors create a more resilient foundation for a potential recovery when favorable conditions emerge.
Ethereum's Price Analysis
Ethereum’s price is currently at $3,540, attempting to break above the $3,607 local resistance. While ETH remains under a month-long downtrend, this level is the first key threshold that must be reclaimed to establish bullish momentum. If successful, Ethereum could advance toward $3,802, challenging the prevailing downtrend and potentially opening the door for further gains.
However, failure to breach $3,607 could push ETH down to the $3,287 support level. Losing this crucial floor might expose the altcoin to a deeper drop toward $3,131, invalidating the emerging bullish outlook.