Whales in the world of Ethereum [ETH], the second-largest cryptocurrency by market capitalization, are showing a strong interest in the digital asset, likely driven by its positive on-chain data.
Surge in Ethereum Whale Activity
Recently, on the 24th of September, TheDataNerd, an on-chain analytics firm, revealed that a whale wallet address labeled “0xBCFB” bought a substantial 50,020 ETH valued at $132 million from the exchange Kraken.
This significant acquisition took place as ETH broke out of a two-day consolidation phase, following a rally past the $2,570 mark.
While some large crypto investors view the current price levels as an opportunity for accumulation, others continue to offload their holdings in anticipation of a market decline in the near future.
Key Price Levels to Watch
Despite trading below the 200 Exponential Moving Average (EMA) on a daily timeframe, technical analysis by CryptoCrypto suggests a bullish momentum for ETH.
The breakout above the crucial resistance level at $2,570, followed by a minor consolidation, hints at a potential uptrend in the near term.
Given the historical price action, sustaining above the resistance could propel ETH towards the $2,900 mark and possibly even higher if market sentiment remains positive.
Positive On-Chain Signals for ETH
Supporting the optimistic outlook are the on-chain metrics. Coinglass reported an ETH Long/Short Ratio of 2.023, indicating strong bullish sentiment among traders at the time of reporting.
Furthermore, Futures Open Interest for ETH saw a 3.2% increase in the last 24 hours, suggesting growing interest in long positions among traders and investors.
With 66.93% of top traders holding long positions and 33.07% in short positions, the current on-chain data highlights a prevalent bullish sentiment in the market for ETH.
As of now, ETH is hovering around the $2,640 level and has maintained relative stability over the past day, with a slight 7% drop in trading volume, signaling decreased trader participation during this period.