Ethereum News Today: Ethereum's $4K Hurdle: Whales Stockpile ETH Amid Retail Sell-Off

Ethereum's price remains in a holding pattern near $3,946, but analysts and on-chain data suggest a potential breakout could be brewing. Whale activity has surged, with over $660 million in Ethereum accumulated by large wallets between October 21 and 23, signaling cautious optimism despite short-term selling pressure, according to a Yahoo Finance report. Meanwhile, technical indicators and analyst projections paint a long-term bullish outlook, though immediate resistance at $4,000 remains a critical hurdle, per CoinDesk analysis.

The recent whale accumulation—adding 170,000 ETH to institutional and large-holding wallets—has raised hopes for a rebound. However, this inflow contrasts sharply with the behavior of short-term holders, who have reduced their collective supply shares across three key cohorts since mid-October, as the Yahoo Finance piece observes. Fast-moving traders with holdings of 24 hours to a month have collectively sold nearly 1% of the circulating supply, creating a "wall of doubt" that has kept Ethereum trapped in a narrow range. This dynamic underscores the ongoing tug-of-war between institutional buyers and retail traders, with the latter's pessimism tempering any immediate price gains.

Technical analysis offers a more nuanced view. Ethereum's daily chart shows a bullish divergence, with prices forming lower lows while the Relative Strength Index (RSI) traces higher lows—a pattern often preceding reversals noted in the Yahoo Finance article. The asset is also consolidating within an ascending triangle pattern, suggesting a potential upward breakout once key resistance levels at $3,989 and $4,137 are tested. Analysts at CoinDesk project a multi-year path to $10,000, contingent on overcoming these barriers and converting the $3,900–$3,920 range into firm support.

Short-term volatility remains a concern. ETH briefly touched $4,001.69 before retreating, and attempts to breach $4,000 have stalled repeatedly, reinforcing the idea that this level is a critical psychological barrier, as CoinDesk commentary explains. A sustained close above $4,000 would likely open the door to $4,100 and retest early-month highs, while a drop below $3,930 could send prices toward the $3,870–$3,880 support zone.

The broader market context also supports a cautious bullish stance. The CoinDesk 5 Index, a gauge of top crypto assets, has rebounded from mid-October lows, inching closer to $1,960 after multiple failed attempts to break through the 1,920–1,925 support band. This resilience, combined with Ethereum's on-chain strength, suggests that long-term buyers are positioning for a sustained rally, even if near-term volatility persists.