Ethereum (ETH) Price Prediction & Analysis: Whales Accumulate, Break Higher Soon?

Ethereum (ETH) Price Prediction & Analysis: Whales Accumulate, Break Higher Soon?

TLDR:

• Ethereum whales have accumulated 430,000 ETH in just 72 hours, with a major whale returning after 500 days of inactivity to purchase 4,700 ETH ($13 million)
• ETH trading at $2,730, facing resistance at $2,750-2,800, with critical support between $2,300-2,400
• Daily active addresses increased by 12.10% in the past week, exceeding 200,000, showing growing network activity
• Institutional flows show some selling pressure, with Grayscale and Fidelity ETFs seeing $13.09 million in net outflows
• Technical indicators suggest potential for upward movement, with price targets extending from $3,241 to $3,591 if $3,000 resistance is broken

A wave of whale accumulation has hit the Ethereum network, with large holders acquiring 430,000 ETH over just three days. This buying activity, worth approximately $1.2 billion at current prices, comes as Ethereum trades at $2,730, testing key resistance levels between $2,750 and $2,800.

A whale has returned after 500 days of inactivity. This whale withdrew 4,700 ETH, valued at nearly $13 million, from exchanges to a new hot wallet, demonstrating renewed confidence in Ethereum’s price trajectory.

Whales bought 430,000 #Ethereum $ETH in the last 72 hours! pic.twitter.com/s2ExKFRbgF

— Ali (@ali_charts) February 19, 2025

The network has shown robust growth in user activity, with daily active addresses increasing by 12.10% over the past week. This metric has now surpassed 200,000 active addresses, indicating healthy network usage and adoption.

Technical indicators present a mixed but generally optimistic picture. The Relative Strength Index (RSI) stands at 37.21, suggesting weak momentum but remaining above oversold territory. The Moving Average Convergence Divergence (MACD) histogram remains in negative territory at -138.3, though bearish pressure appears to be easing.

Trading Volume

Trading volume remains relatively modest at 1.15K ETH, indicating neither strong buying nor selling pressure at current levels. However, analysts suggest that a breakthrough above $2,800 with increased volume could signal the start of an upward trend.

Current market data shows that 62% of Ethereum holders are in profit, while 33% face losses. Long-term holder confidence remains strong, with 74% of investors maintaining their positions for more than one year.

Large entities now control 54% of Ethereum’s total supply, underlining institutional interest in the asset. Ethereum’s price movements continue to show a strong correlation with Bitcoin, maintaining a correlation factor of 0.96.

The derivatives market presents mixed signals, with trading volume dropping 32.48% to $23.14 billion. However, open interest has increased by 1.14% to $24.65 billion, suggesting traders are maintaining substantial positions despite reduced trading activity.

Options market data reveals a slight decrease in volume, down 4.10% from the previous month to $622.55 million. Open interest has remained stable at $6.85 billion, with Binance traders showing bullish sentiment through a 3.44 ratio of open positions.

Recent liquidation data shows $19.31 million in positions were cleared in the past 24 hours, with short traders bearing the brunt of these losses at $11.18 million. This suggests a potential shift in market sentiment toward buying activity.

On-Chain Metrics

On-chain metrics indicate substantial withdrawal activity from exchanges, with net outflows of $12.45 million in ETH over the past seven days. Large transactions exceeding $100,000 have totaled $37.59 billion in weekly volume.

The price has formed a consolidation range with resistance at the 38.20% Fibonacci level, priced at $2,807. Recent price action shows three consecutive positive candles, forming a triple white soldiers pattern that suggests potential for further upward movement.

Institutional flows present a contrasting picture, with U.S. Ethereum spot ETFs recording negative net flows of $13.09 million on February 20. Grayscale’s Ethereum Trust and Fidelity led the selling, offloading $10.34 million and $2.75 million respectively.

If buyers can push the price above $3,000, technical analysis suggests potential targets at $3,241 and $3,591. However, maintaining support between $2,300 and $2,400 remains crucial to prevent further declines.

The SEC is currently reviewing 21Shares’ petition for an Ethereum spot ETF, which includes staking components aimed at attracting institutional investors. This development could provide additional support for price growth.

Recent market pressure has affected short traders most heavily, with $4.81 million in liquidations occurring in just 12 hours, potentially indicating a shift toward more bullish market sentiment.

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