Ethereum Whales Accumulate 1.4 Million ETH Driving 93% Price Surge

Ethereum whales have been actively accumulating the cryptocurrency, adding 1.4 million ETH to their holdings between mid-April and mid-May. This significant increase in holdings by major investors, who each hold between 10,000 and 100,000 ETH, has coincided with a substantial price rally for Ethereum. The cryptocurrency's price surged from around $1,600 to over $3,100 during this period, breaking through key resistance levels at $2,200 and $2,800. This accumulation by whales before the price spike suggests a strong bullish conviction and informed confidence in Ethereum's future value.

Technical analysts have also noted positive signals for Ethereum. A golden cross on the 12-hour chart, where the 50-period moving average crossed above the 200-period moving average, indicates sustained upward momentum and increased buying pressure. This technical pattern is historically associated with renewed investor interest and a bullish outlook. However, analysts caution that Ethereum must hold above $2,200 to maintain this uptrend and avoid a bearish reversal. A drop below this level could weaken the bullish case and expose the token to a retest of lower support levels.

The next major resistance level for Ethereum is identified at $3,100, while the $2,233 mark stands as a vital support. If Ethereum stays above this support level, a further rally toward $3,000 could be likely. Conversely, slipping below $2,200 may expose the token to a retest of the $1,900 zone. The current price of Ethereum reflects short-term volatility, with a modest daily gain but a slight decline over the past week. Despite this, the overall trend driven by whale accumulation and institutional flows suggests a bullish outlook for Ethereum.

The bulls are likely to push the price above the $2,738 resistance level, paving the way for a rally to $3,000. There is minor resistance at $2,850, but it is expected to be overcome as the bullish momentum continues. The next few days are critical for Ethereum, as the market awaits further developments that could propel the price beyond $3,000. The sustained accumulation by whales and the breaking of major resistance levels suggest that Ethereum is poised for significant gains in the near future.