Ethereum Buyers Accumulate Despite Volatility, Signaling Potential Rebound

Ethereum buyers have been accumulating the cryptocurrency despite recent market volatility, signaling a potential rebound for ETH. The cost basis distribution reveals notable trends of investors buying into dips, particularly around the $2,632 and $3,149 price levels. These zones are creating a solid support structure, which could indicate the beginning of price stabilization after recent downturns.

The cost basis distribution tracks the price levels at which investors acquired their ETH holdings, offering insights into market sentiment and accumulation trends. Recent Glassnode data shows multiple cost bases moving lower, indicating steady accumulation despite price volatility. This suggests that investors view ETH’s recent decline as a buying opportunity rather than a reason to exit, which could support price stabilization if the trend continues.

Ethereum’s accumulation zones highlight key price levels where investors actively built positions. The strongest support zone was at $2,632, where 786.66K ETH has been accumulated. This level represented a potential floor, as past trends showed buyers stepping in aggressively around this price. On the flip side, resistance looms at $3,149, with 1.22M ETH accumulated. If ETH rallies, this zone could act as a barrier, triggering sell-offs as investors take profit.

ETH’s recent price action pointed to a critical moment for its future trajectory. The RSI at 33.30 indicated that ETH was nearing oversold territory, meaning a potential bounce could be on the horizon. However, it hasn’t yet reached extreme lows, suggesting further downside risk remains. The MACD histogram flipping negative reinforces the bearish momentum, with the MACD and signal lines widening apart — typically a sign of continued selling pressure. ETH’s price breaking below $2,500 is significant, as it threatens to test the $2,632 accumulation zone identified earlier. If buyers step in at this support, a recovery toward the $3,149 resistance is possible. But failure to hold could trigger a deeper correction, making the next few trading sessions crucial.