Ethereum News Today: Ethereum Breaks Descending Wedge as Whale Holdings Surge 92% Amid $4.1B Inflows

Ethereum’s price action has demonstrated renewed strength as it approaches critical resistance levels, with technical and on-chain indicators reinforcing a bullish outlook for further upside potential. The cryptocurrency, currently trading near $3,600, has broken above a descending broadening wedge pattern on the weekly chart, a formation historically associated with strong continuation moves. This pattern, defined by two downward-sloping trendlines and characterized by progressively lower highs and lows, has now seen price exceed its upper boundary, signaling potential for a breakout toward $4,000 and beyond. A confirmed close above this level could validate a bullish scenario targeting $6,000, based on the measured move from the pattern’s widest point [1].

Analysts have highlighted the significance of Ethereum’s current setup, with the Titan crypto analysis account noting its alignment with historical bullish continuation patterns [1]. The key resistance zone at $4,000, which has acted as a ceiling since early 2022, is now in focus. If bulls maintain control above $3,500—a critical support level—Ethereum could solidify its position for a decisive push higher. Conversely, a breakdown below $3,500 might trigger a retest of the $3,200–$3,000 range, where previous wedge support could offer a temporary floor [1].

On-chain activity further supports the bullish case. Institutional and whale investors have shown aggressive accumulation, with Ethereum holdings among large holders surging 92% in a month and over $4.1 billion in ETH accumulating in just two weeks [3][4]. This inflow has coincided with a broader rotation of capital from Bitcoin into Ethereum, as the latter’s price rallied from $2,500 to $3,800 amid developments like Ethereum Name Service (ENS) growth and ETF approvals [5][9]. Institutional demand has pushed Ethereum’s price to hold firm above $3,700 despite heightened volatility, with analysts suggesting the $4,000 target remains within reach [2][6].

Technical indicators also reinforce the potential for a breakout. The Relative Strength Index (RSI) has signaled a possible upward shift, while the retesting of the $3,770 resistance zone has failed to provoke significant bearish activity [2]. Weekly candlesticks show sustained upward momentum since a low of $1,500, aligning with a broader breakout narrative [1]. While volume data is not visible on the chart, rising volume typically accompanies pattern completions, potentially amplifying price gains [1].

In the short term, Ethereum’s resilience above intraday support levels like $3,600 and $3,550 remains crucial. A sustained move above $3,740–$3,800 could accelerate the trajectory toward $4,000, but bears may still contest this zone before a definitive directional shift occurs [1]. The immediate outlook hinges on whether institutional inflows and whale accumulation can maintain pressure on the $4,000 threshold, which, if breached, could catalyze a new wave of buying and extend the current bullish trend.

Sources:

[1] [Ethereum Breaks Five-Year Consolidation Range, Tests $3,600–$3,700 Support Zone](https://www.ainvest.com/news/ethereum-news-today-ethereum-breaks-year-consolidation-range-tests-3-600-3-700-support-zone-post-50-july-surge-2507/)

[2] [$ETH Breakout Zone Re-Test – Bulls Regaining Control](https://www.binance.com/en/square/post/27388110753161)

[3] [Ethereum Defies Market Weakness as Whale and Institutional Buys Surge Holdings 92% in a Month](https://www.ainvest.com/news/ethereum-news-today-ethereum-defies-market-weakness-whale-institutional-buys-surge-holdings-92-month-price-holds-3-500-2507/)

[4] [Ethereum Whales Accumulate Over $4.1B In ETH In Two Weeks](https://www.tradingview.com/news/newsbtc:0bec1f1b5094b:0-ethereum-whales-accumulate-over-4-1b-in-eth-in-two-weeks-details/)

[5] [Ethereum Big-Money Flow Hits 3-Year High With $100B In Institutional Inflows](https://www.mitrade.com/insights/news/live-news/article-3-978170-20250723)

[6] [Ethereum Holds Steady Above $3700 Despite Volatility, 4200 Target Still In Sight](https://bravenewcoin.com/insights/ethereum-eth-price-prediction-ethereum-holds-steady-above-3700-despite-volatility-4200-target-still-in-sight)

[9] [ENS Price Surges 5.6% as Ethereum ETF Launch Drives Momentum](https://blockchain.news/news/20250724-ens-price-surges-56-as-ethereum-etf-launch-drives-momentum)