Whales Offload 262,000 Ethereum During Recent Price Surge – Strategic Move or Just Profit-Taking?

Ethereum is trading above $1,800 but is having difficulty climbing to higher price levels. Following a slight recovery in previous weeks, ETH, along with the overall cryptocurrency market, is encountering a significant resistance area that could either lead to a breakout or result in further consolidation. For bulls to confirm renewed momentum, they need to overcome the $1,850 to $2,000 range, yet economic challenges are complicating this goal.

Ongoing uncertainty regarding trade relations between the US and China, as well as global economic slowdowns, continue to negatively impact investor confidence. While risk assets have demonstrated some resilience, the overall environment remains unstable and reactive to geopolitical changes. In this backdrop, large investors seem to be adopting a more cautious stance.

Data from CryptoQuant indicates that whales took advantage of a recent rise in Ethereum’s price by selling off 262,000 ETH, valued at about $445 million, in the past few days. This notable selling activity points to profit-taking by major players, which might limit potential upward movement in the short term. If the market struggles to effectively absorb this increased supply, additional downward pressure may ensue.

Ethereum at a Crossroads as Whale Activity Raises Concerns

Ethereum is facing challenges in regaining its bullish momentum after experiencing a decline of over 55% from its peak in December. Despite recent recovery efforts, ETH remains under pressure and is trading below crucial resistance levels, which keeps the broader market on edge. Currently situated just above the $1,800 level, Ethereum is probing a critical area that could influence its near-term direction.

In shorter time frames, ETH appears to be establishing a more favorable structure, hinting at potential bullish momentum. Bulls are focused on reclaiming essential supply zones ranging between $1,850 and $2,000, a move that would signify a change in market dynamics. However, substantial selling pressure persists. Analysts are monitoring the situation closely to see if Ethereum can maintain higher lows and drive toward breakout points.

Nevertheless, there is skepticism regarding a sustained bullish trend. Renowned analyst Ali Martinez recently disclosed that whales have sold around 262,000 ETH, worth close to $445 million, during the latest uptick in prices. This selloff suggests that larger stakeholders might be bracing for higher volatility or a possible correction, which could hinder short-term rally efforts.

If Ethereum cannot surpass immediate resistance and effectively manage ongoing selling pressure, it may decline back into lower demand areas between $1,500 and $1,600. Maintaining levels above $1,750 is critical for sustaining a bullish outlook. Given the prevailing macroeconomic uncertainties and widespread market indecision, Ethereum remains in a precarious state—ready either for a notable breakout or a potential downturn.

Ethereum Price Tests Patience as Consistent Range Continues

Ethereum, currently trading at $1,810, is situated in a tight range between $1,850 and $1,750. This narrow consolidation phase has persisted for multiple days, and market participants are now looking for a clear breakout that will dictate the next major movement. For bulls to confirm a breakout, they must reclaim higher levels to validate the recent shift in momentum observed earlier this month.

The $1,850 resistance level has hindered recent upward attempts, and each failure to break through this point intensifies the pressure. A confirmed breakout above this threshold could lead to heightened buying activity, potentially driving ETH towards the crucial supply area between $2,000 and $2,100. This region is vital for bulls to reclaim to foster a strong upward trend and alter broader market sentiment.

Nevertheless, the risk of rejection is present. Should ETH fail to exceed $1,850 or sustain a false breakout, a correction towards the lower edge of the range could be forthcoming. A decisive drop below $1,750 could spark a more significant retracement, targeting support levels near $1,600 and below.

As macroeconomic uncertainties continue, Ethereum’s next movement may have broader implications for the altcoin market in the following weeks. The situation is tense—volatility is on the horizon.