On-chain activity, strong ETF inflows, and whale accumulation signal a potential breakout for ETH.
Ethereum Price Stalls at $4,000 Resistance
Ethereum (ETH), the second-largest cryptocurrency, is trading at $4,008 but has faced resistance at the $4,000 level for three weeks. Despite this, key indicators suggest that Ethereum could soon overcome this barrier.
Positive Catalysts for ETH
Bitcoin’s strong performance, reaching record highs this week, has historically influenced Ethereum’s price movement. Additionally, spot Ethereum ETFs have seen inflows of $2.3 billion, led by Grayscale and BlackRock, with consistent inflows over the past 17 days.
On-Chain Activity Signals Strength
Ethereum’s network activity remains robust, with active addresses holding steady at around 600,000 and total addresses surpassing 123 million. Whale accumulation is also evident, with significant holdings observed:
- 90 wallets hold between 100k and 1 million ETH.
- 966 wallets hold between 10k and 100k ETH.
Etherscan data reveals notable whale transactions, including a recent transfer of 16,000 ETH ($64 million) from Binance to a custodial wallet.
Ethereum’s DeFi Ecosystem Flourishes
Ethereum’s decentralized finance (DeFi) ecosystem continues to dominate, with total value locked (TVL) rising by 36% to $79 billion. Its protocols hold more assets than the next ten chains combined, showcasing Ethereum’s pivotal role in the DeFi space.
Technical Outlook for Ethereum
Ethereum’s price has formed a triple-top pattern on the weekly chart, a potential bearish signal. However, it remains above the 50-week and 100-week moving averages, indicating bullish momentum. A break above $4,000 could lead to gains toward its all-time high of $4,877, with $5,000 as the next target.
Disclaimer:
The information provided on 13Desk is for informational purposes only and should not be considered financial advice. We strongly recommend conducting your own research and consulting with a qualified financial advisor before making any investment decisions. Investing in cryptocurrencies carries risks, and you should only invest what you can afford to lose. 13Desk is not responsible for any financial losses incurred from your investment activities.
