Ethereum whales accumulate 70,000 ETH

Ethereum (CRYPTO:ETH) mega whales have recently accumulated 70,000 ETH, amounting to over $185 million, indicating a potential bullish trend for the cryptocurrency.

This significant accumulation comes after a period of distribution by these whales, which had previously led to a drop in ETH’s price from over $3,500 in July to approximately $2,140 by early September.

According to data from Glassnode, the number of Ethereum addresses holding at least 10,000 ETH rose from 918 to 925 between September 16 and now, signaling an increase in whale activity.

This uptick in holdings typically correlates with price appreciation, as reduced whale holdings usually signal bearish conditions.

With ETH’s recent price increase from $2,295 to $2,640, speculation is mounting that the cryptocurrency could aim for higher levels, potentially reaching $3,037.

Based on market analysts' observations, the bulls have recently outpaced the bears in terms of accumulation, which suggests a sustained price rally may be on the horizon.

Roy Hui, founder and CEO of Ethereum Layer-2 blockchain LightLink Chain, remarked, “Despite the challenges, ETH still boasts the largest number of developers, projects, users, and overall adoption in the space.”

He emphasised that the network effect is critical for Ethereum’s value and argued that it is currently undervalued.

In terms of immediate price levels, the In/Out of Money Around Price (IOMAP) analysis shows that approximately 2.7 million addresses purchased 52 million ETH around the price of $2,279, establishing this range as a strong support level.

If buying pressure continues, ETH may break through the resistance levels of $2,717 and potentially surge past $3,037.

However, if whale activity slows down or if the Ethereum Foundation decides to distribute more tokens, predictions may not hold, and ETH could decline below $2,500.

At the time of writing, the Ethereum (ETH) price was $2,651.57.