Ethereum whales are accumulating at their fastest pace since 2020. Yet the price remains stuck in a narrow trading range near $2,550.
Mega whales holding at least 10,000 ETH have increased their holdings by 9.31% since October 2024. Their total holdings recovered to over 41.06 million ETH from a record low of 37.56 million ETH in October.
This accumulation pace is nearly double what occurred between May and September 2022. During that period, whale holdings increased by a smaller amount before ETH rallied 95% from $1,000 to over $1,950.
The current whale behavior mirrors patterns from November 2020 to January 2021. During that time, whale holdings rose 4% before ETH jumped from $460 to $1,220.
Institutional players are also rotating into Ethereum. Bit Digital, a Nasdaq-listed mining company, completely exited its Bitcoin position to focus on Ethereum.
The company acquired approximately $192.9 million in ETH after raising funds from a public offering and selling Bitcoin holdings. Its treasury now holds $254.8 million in Ethereum.
This makes Bit Digital one of the largest publicly held companies with ETH holdings. The company has indicated it plans to add more Ethereum to its treasury.
Exchange reserves tell a different story about supply dynamics. The amount of Ethereum held on centralized exchanges has dropped to just 18.9 million ETH.
This represents the lowest level in recorded history. Declining exchange reserves typically signal that holders are moving ETH to self-custody or staking contracts.
When reserves fall, it removes tokens from active trading circulation. This usually creates upward pressure on prices due to reduced sell-side liquidity.
ETH staking has reached record levels alongside falling exchange reserves. Total value staked has crossed 35.8 million ETH, the highest it has ever been.
The growth reflects increasing conviction in Ethereum’s Proof-of-Stake model. Stakers earn yield by locking up tokens to help secure the network.
ETH is trading within a bull pennant pattern on daily charts. This setup typically signals a continuation move in the direction of the prior trend.
The pattern has seen both failed breakouts and failed breakdowns. This suggests strong consolidation is occurring within the structure.
A decisive move above the pennant’s upper boundary could push ETH toward $3,400 by August. The current consolidation phase may be forming a foundation for the next move higher.
Ethereum’s cost basis distribution shows the $2,500 to $2,536 range as a key accumulation zone. Over 3.45 million ETH have their cost basis within this range.
The heavy concentration of long-term holders near $2,500 reinforces the current consolidation phase. This level now acts as a key support zone.
ETH currently trades between $2,515 and $2,590, a tight range that has held since early July. The 0.236 Fibonacci retracement level at $2,527 aligns with the current stall point.
A breakout above $2,736, the next key Fibonacci resistance, would signal renewed bullish strength. Until then, ETH remains in its current consolidation pattern.
The disconnect between bullish supply dynamics and flat price action raises questions about market timing. Large holders began accumulating well before broader market participation in previous cycles.
The post Ethereum (ETH) Price: Institutional Buyers Rotate $250M from Bitcoin into Ethereum appeared first on CoinCentral.
Also read: Will DOGE Hit $0.25 This Month?
WhatsApp
Telegram
