- Whale buys 10,000 ETH and deposits $9M USDT, signaling long-term confidence.
- Ethereum faces resistance at $3,360-$3,450 and support at $3,066-$3,160.
- Surge in Ethereum derivatives, with a notable 112% rise in futures volume.
Ethereum (ETH) has seen a surge in whale activity recently, with a notable whale purchasing 10,000 ETH worth approximately $31.5 million on Binance after a market dump. The whale has also deposited an additional $9 million worth of USDT into Binance, likely preparing for further Ethereum purchases.
This aggressive accumulation has fueled speculation that ETH could be on the verge of significant price movement. As a result, many analysts are adjusting their price forecasts, with some predicting Ethereum could reach $10,000 in the coming months.
Ethereum’s Market Resistance and Support Levels
Ali Martinez, a well-known cryptocurrency analyst, has highlighted key resistance and support levels for Ethereum. According to Martinez’s analysis, the most critical resistance for ETH lies between $3,360 and $3,450.
This range represents a strong barrier that the price needs to break for a more significant rally. On the downside, the key support levels are found between $3,066 and $3,160. If ETH’s price falls to these levels, traders may look to buy, anticipating a potential bounce.
Despite the ongoing market fluctuations, Martinez also points out that Ethereum’s network growth has slowed considerably. Over the past week, the number of new Ethereum addresses has dropped by 9.32%.
This decline in adoption could indicate that Ethereum’s growth momentum is waning, which might affect the price in the short term. However, the whale activity suggests that large investors are still confident in Ethereum’s future.
Ethereum Derivatives Market Shows Increased Activity
As of press time trading at $3,247.39, Ethereum’s derivatives market is experiencing significant activity. As per Coinglass data, Ethereum’s 24-hour trading volume stands at $37.7 billion, with an impressive surge in derivatives trading. The trading volume for Ethereum futures and perpetual swaps has increased by 112.08%, reaching a total of $66.53 billion.
This spike suggests that interest in Ethereum’s derivatives is on the rise. However, open interest, which tracks the number of outstanding derivative contracts, has decreased by 4.99%, indicating some profit-taking or reduced positions by traders.
Additionally, Ethereum’s options market has witnessed substantial growth. The options volume surged by 192.78%, totaling $1.18 billion. This indicates that speculative trading and hedging strategies are gaining popularity.
The options open interest also grew by 5.87%, reaching $7.38 billion. This suggests that market participants are increasingly betting on Ethereum’s price movements.
Technical Indicators Point to a Bullish Outlook
Technically, Ethereum is showing signs of mixed momentum. The Relative Strength Index (RSI) currently sits at 46.29, just below the neutral 50 level. This suggests that ETH is neither overbought nor oversold. However, the slight recovery in RSI hints at improving bullish sentiment.
Meanwhile, the MACD (Moving Average Convergence Divergence) remains below the signal line, with smaller bearish bars on the histogram. This suggests that while bearish momentum is slowing, a bullish crossover could occur if Ethereum’s price maintains upward movement.
