Will Whales Save Ethereum as They Quietly Scoop Up While Retail Investors Sell Off

▲ Ethereum (ETH)

Market attention is focused on whether Ethereum (ETH) can break its downtrend and lay the groundwork for a dramatic reversal, supported by strong accumulation from whales.

According to cryptocurrency media outlet The Crypto Basic on February 25 (local time), Ethereum has recently rebounded, posting a short-term recovery after a period of weakness. Although it showed intraday declines at one point, strong buying pressure flowed in, forming a temporary high and signaling that buyers are attempting to regain short-term control of the market.

From a technical perspective, Ethereum remains trapped in a trend dominated by downward pressure. The current price is trading below both the 50-day and 100-day exponential moving averages, and both indicators are sloping downward, suggesting a typical bearish market. To fully escape the downtrend, Ethereum must decisively break above the 50-day exponential moving average. Failure to do so could result in facing strong overhead resistance and undergoing further correction.

Ethereum’s Relative Strength Index (RSI) is gradually moving out of oversold territory. This indicates that selling pressure is easing, but as the index has yet to surpass the neutral level of 50, there is a prevailing view that upward momentum remains insufficient. After experiencing a sharp decline in value, Ethereum has now entered a consolidation phase aimed at preventing further steep losses.

Crypto analyst Crypto Rover, citing data from on-chain analytics firm CryptoQuant, reported that whales are aggressively accumulating Ethereum. Rover highlighted that the amount of Ethereum held in accumulation addresses has surged approximately fourfold compared to 2023 levels. Despite extreme volatility, the long-term conviction of large holders appears to be strengthening.

Ethereum is currently walking a tightrope between a short-term rebound and a long-term downtrend. While large-scale whale accumulation is providing support to the market bottom, a genuine trend reversal requires strong technical confirmation, such as a breakout above key moving averages. Investors should closely monitor institutional and whale capital flows and watch for structural shifts in the market rather than reacting emotionally to short-term price volatility.

Disclaimer: This article is for informational purposes only and should not be construed as investment advice. The publisher assumes no responsibility for any investment losses incurred based on this content.