Ethereum Whales Snap Up $100M in ETH in 2 Months—Decoding ETH’s Long-Term Prospects
Ethereum whales show signs of accumulation amid falling prices. Will ETH make a decisive upturn leading to a new all-time high?
Key Takeaways
- A crypto whale amassed $100M in ETH since May.
- ETH’s recent 25% recovery could signal a new uptrend.
- Bullish outlook hinges on ETH breaking $3,000 resistance.
A crypto whale has been quietly accumulating Ethereum (ETH), purchasing over $100 million worth in the last two months, according to blockchain tracking firm Lookonchain .
The shopping spree seems aimed at capitalizing on ETH’s recent dip, which saw the price drop by 47% from a late-May high of nearly $4,000 to $2,100 by Aug. 5.
With ETH now recovering 25%, the big question is whether the worst is over and if this rebound could ignite a sustained rally to a new all-time high.
ETH Whales On The Move
An Ethereum address starting with “0x78D07” recently purchased over $4.7 million worth of ETH, bringing its total holdings to nearly $100 million. This whale has accumulated 37,800 ETH since May 24th, with an average purchase price of $2,420, and currently holds an unrealized profit of $7.5 million.
Another notable whale, identified as “smart money” with a flawless track record of profitable trades, has also been amassing Ethereum. This investor has acquired approximately $70 million worth of ETH since late May, purchasing 19,436 ETH at an average price of $3,511.
ETH Price Analysis
The price of Ethereum started its bull cycle in June 2022 after dipping below $1,000. In August of the same year, it recovered to $2,000 and made its first higher low of $1,180 in November.
These were the first two sub-waves of the larger five-wave pattern. The next uptrend began and lasted until mid-March 2024, when it came slightly above $4,000, an increase of 265%.
Since then, Ethereum has been in a bearish cycle, resulting in a 48% decrease to its Aug. 5 low of $2,150, but that could have concluded its wave 4 as a corrective wave in the mentioned five-wave impulse of the higher degree.
The daily chart RSI and MACD confirm that this low could have marked the completion of this corrective stage. As we can see from the chart above, by comparing the levels of these indicators to the previous times ETH made a macro reversal, we are currently in a similar environment.
If this is true, we could see the start of its highest degree wave 5, which will lead ETH to revisit its all-time high of $4,800 or even make a new one. With its latest 26% recovery still developing, we will receive a confirmation in the form of a developing uptrend.
ETH must continue its ascending direction to confirm this bullish outlook, preferably to a high of $3,000 or slightly below it. Second, we need to see a retracement of no more than 60%, which would leave the first higher low since mid-March.
The third and most decisive confirmation will be if the price continues moving above the $2,8000 to $3,000 area, as it would mean that it broke its horizontal resistance and made its next higher high.
