Ethereum Whale Accumulates 449 Thousand ETH In One Day, But The Resistance Level Of 1.895 USD Remains Strong

A few days ago, Ethereum witnessed a historic inflow of 449,000 ETH into accumulation addresses – wallets that have never spent money. This is the highest daily inflow since 2018, indicating that these Ethereum whales are optimistic about the future of Ethereum, even though many are still underwater with a current market price of $1,981. This means that the purchase price is higher than the current market price. Despite the short term losses, these holders are not panicking and still believe in the long term potential of Ethereum. ETH struggles at the resistance level of $1,895 According to technical analysis, Ethereum is facing significant resistance at the level of $1,895, where approximately 1.64 million ETH is held by investors since November 2024. The price needs to close above $2,142 to break the current pattern of lower highs and lows, which would signal the potential for a bullish reversal. Additionally, active Ethereum addresses have increased by 10%, indicating increased network participation. However, DeFi activity remains low, with DEX volumes declining. Recently, there have also been some major activities from whales. A long-term holder of Ethereum recently transferred $27.6 million in ETH after more than 900 days of inactivity. This move caused the price of Ethereum to drop in the short term, but it didn't last long before this cryptocurrency stabilized. A sign of good news? Although the price of Ethereum has decreased by about 57% from its all-time high of $4,100, the recent accumulation by long-term holders and increased network activity may indicate a fundamental trust in its long-term value. Subsequently, upcoming upgrades such as the Pectra upgrade could also play a role in boosting Ethereum. Scheduled for release on May 7 on the mainnet, this upgrade aims to enhance scalability, reduce transaction fees, and improve staking efficiency. Short term outlook: Resistance is key However, the mentioned resistance levels and the slowdown in DeFi activity suggest that although the foundation for a bullish trend seems to be forming, troubles may be brewing and there are still certain challenges ahead. In the short term, ETH faces a technical resistance level that must be surpassed to reverse the current downtrend. Traders are closely monitoring the resistance at $1,895, but failing to break through could prolong the consolidation phase or even lead to further declines. On the other hand, a confirmed close above $2,142 would be a strong signal for a bullish reversal.