Ethereum News Today: Ethereum Rises to $4,600 on Bullish HODLing and Institutional Buying

The Bitunix Analyst has highlighted Ethereum’s (ETH) recent surge to approximately $4,600, driven by increased bullish HODLing behavior and strategic capital moves from major players. BlockBeats reported on August 13 that Bitmine is considering a new round of financing to boost its Ethereum holdings by up to $20 billion, aiming to control 5% of the circulating supply [1]. This development has contributed to rising market sentiment and pushed ETH toward a critical price level near $4,600.

Currently, Ethereum is testing the historical supply zone, a key area overlapping with the previous high from 2021, ranging between $4,650 and $4,900 [1]. The previous high liquidity level at $4,200 has been breached and now serves as a support level, while structural support remains visible below $3,300 [1]. The Bitunix Analyst emphasizes that while the long-term supply-demand structure benefits from increased long-term capital commitment—such as Bitmine’s holding plan—this is a medium- to long-term factor and does not alleviate immediate short-term pressures.

According to the analyst, the accumulation of institutional holdings enhances liquidity concentration, which can amplify gains in a bull market but also intensify declines during market corrections [1]. With Ethereum nearing key resistance levels, the market is at risk of a “buy the rumor, sell the news” reaction. The analyst cautions traders against chasing highs based solely on bullish sentiment and highlights the need for strong risk management practices.

The analyst also notes that while the fundamental bullish case for Ethereum remains intact, short-term challenges include the presence of large supply walls and excessive leverage in derivatives markets. This combination could create volatility and downward pressure if the current price level fails to hold [1].

Traders are advised to closely monitor the $4,650–$4,900 range, as a successful break above this zone could signal a shift toward a new bullish phase. However, failure to sustain above these levels may result in a retest of support at $4,200 and potentially lower. The Bitunix Analyst underscores the importance of disciplined trading strategies and careful exposure management in the current environment.

Source: [1] Bitunix Analyst: ETH Surges to 4600 on Bullish HODLing, Nearing Historical Supply Zone; Watch Out for Resistance at 4650–4900, Risk Management Key for Trading (https://www.theblockbeats.info/en/flash/307211)