Ethereum Faces Resistance at $1,805 as Spot Volume Cools and Holder Confidence Grows

Ethereum’s spot trading volume has noticeably decreased as its price struggles to breach the $1,805 resistance, signaling a pivotal moment for market participants.

• Ethereum’s spot volume cooled, while address activity and exchange outflows reflected stronger holder confidence.

• ETH faced tight resistance at $1,805 amid heavy liquidation clusters and weak momentum.

Despite a cooling of Ethereum’s trading volume, rising address activity and exchange outflows indicate increased confidence among long-term holders.

Modest growth despite price indecision

On-chain metrics showed modest user engagement gains, hinting at improving sentiment. Daily Active Addresses rose to 431.2K, while new addresses surged by 13.40% in seven days.

Zero Balance Addresses also climbed 25.17%, reflecting increased wallet creation and user interaction. This uptick comes even as price remains sluggish, suggesting users are cautiously re-engaging with the network.

Therefore, although ETH lacks bullish explosiveness, address stats point to growing on-chain participation, possibly laying the groundwork for stronger accumulation.

Source: IntoTheBlock

ETH struggles to clear $1,805

Ethereum broke out of its multi-month descending channel and had started testing resistance near $1,805. At the time of writing, ETH traded at $1,804.27, down 0.86% in the last 24 hours. This level aligned with the 0.236 Fibonacci retracement, creating a decisive barrier.

However, the breakout from the downtrend marked a notable technical shift. The RSI was 53.80, holding above neutral but still lacking aggressive momentum. A clear push above $1,805 could revalidate bullish continuation, though sellers remained active at this zone.

Source: TradingView

Ethereum holders avoid selling pressure

Supply on exchanges has dropped sharply, hitting 8.05 million ETH. This continued downtrend reflected sustained accumulation and reduced intent to sell, often seen as a bullish long-term signal.

Throughout 2025, the chart revealed consistent outflows with few inflow spikes, showing conviction among holders. While short-term price action remained capped, the lack of exchange supply limits sudden dump risks, supporting price resilience if demand gradually recovers.

Source: Santiment

Liquidation heatmap reveals heavy tension

The Binance ETH/USDT heatmap highlighted a tight liquidation band between $1,775 and $1,830. This zone has repeatedly absorbed both long and short liquidations, confirming it as a high-stakes battleground.

The price now traded near the lower edge, risking further liquidations if downside pressure continues. However, if bulls manage a sustained break above $1,830, it could trigger cascading short liquidations.

Source: Coinglass

Conclusion

Ethereum’s declining spot volume, consistent exchange outflows, and a steady rise in address activity signal a stabilizing market. These factors suggest reduced sell pressure and growing confidence among long-term holders.

However, the strong resistance around $1,805 and persistent liquidation clusters near current levels may continue to cap upward momentum. Therefore, ETH must attract stronger demand and decisively flip this resistance to confirm a sustainable bullish reversal.