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The crypto market is witnessing a significant shift, with Ethereum whales ramping up their holdings amid positive market sentiment.
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This growing accumulation signals renewed confidence from major investors, as ETH reacts to major external factors, including ETF inflows.
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“This increased activity among large holders is a strong indicator of potential price movements,” says a recent analysis from COINOTAG.
Ethereum whales are increasing their stakes, with notable ETF inflows hinting at potential price surges in the near term.
ETH Whale Accumulation and ETF Inflows Hint at Imminent Price Surge
According to on-chain data, leading altcoin ETH has noted a significant spike in its large holders’ netflow over the past week. This has rocketed by an astonishing 2682% in the past seven days.
Large holders of an asset refer to whale addresses holding more than 0.1% of its circulating supply. The large holders’ netflow metric tracks the difference between the coins these investors buy and the amount they sell over a specific period.
When an asset’s large holders’ netflow surges, it indicates that whale investors are ramping up their coin accumulation. This accumulation trend suggests a collective belief in ETH’s future upside, as major holders tend to act decisively when they perceive value at current price levels.
Adding to the bullish narrative, ETH-backed ETFs experienced their first weekly net inflow in eight weeks. According to SosoValue, net inflows into ETH-backed ETFs reached $157.09 million between April 21 and April 25, reversing a streak of outflows totaling over $700 million.
With major players re-entering the market, ETH could be poised for further upside in the near term.
Ethereum Sees Bullish Momentum
On the technical side, ETH’s positive Balance of Power (BoP) highlights the resurgence in demand for the leading altcoin, currently measured at 0.31.
This indicator evaluates the buying and selling pressure of an asset. When its value is positive, buying pressure outweighs selling pressure. This situation indicates strength in ETH’s price movement and signals further upward momentum could be on the horizon. If this trend continues, ETH could rally back above $2,000, potentially reaching $2,027.
However, if broader market sentiment deteriorates, ETH may shed recent gains and retrace to levels around $1,385.
Conclusion
In summary, Ethereum’s resurgence among whale investors and the positive movements in ETF inflows create a compelling narrative for potential price increases. Investors are advised to monitor these developments closely as they provide critical insight into ETH’s market trajectory.
