ETH’s Cost Basis Analysis: Key Support and Resistance Levels to Watch

On May 18th, COINOTAG News reported insights from on-chain data analyst Murphy, highlighting ETH’s **cost basis distribution** over the past six months. The analysis indicates a significant **multi-million ETH accumulation zone**, crucial for understanding the cryptocurrency’s market movements. For ETH to maintain its **upward trajectory**, it must solidify support between **$1,500 and $1,600**, a price point where whales accumulated substantial positions two years prior. Notably, approximately **1.2 million ETH** remains steadfast at this level. A decline to $1,200 could expose many holders to significant underwater positions, although current trends suggest this support is intact.

Following a bounce back from $1,500, ETH faces key resistance between **$1,800 and $1,900**, a zone of whale accumulation since June 2023 with around **2 million ETH** held. Importantly, the absence of notable selling signals from these holders suggests dissatisfaction with the current price levels. Additionally, between **$2,700 and $2,800**, nearly **4.7 million ETH** has been accumulated at a time of unrealized losses. Despite this, holders have shown conviction by continuing to buy during dips, effectively lowering their average cost basis. Clear surpassing of this level may enable ETH beneficiaries to escape underwater territory. Presently, the primary selling pressure arises from **2.27 million ETH** collected around **$1,800**, with **1.01 million ETH** remaining as of May 16th. This analysis serves educational purposes only and should not be interpreted as investment advice.