Ethereum Whales Fuel $2.5K Support, Staking Hits ATH

Ethereum (ETH) price has remained above the crucial $2,500 support level, defying a recent broader market dip. This resilience is largely attributed to significant buying activity from large holders, or “whales,” who have been accumulating ETH at an unprecedented rate. Data reveals daily net inflows exceeding 800,000 ETH for almost a week, culminating in a record 871,000 ETH on June 12th. This intense accumulation mirrors the pre-rally buying spree of 2017, with addresses holding 1,000-10,000 ETH currently controlling 27% of the total supply. The reasons behind this whale accumulation remain unclear, but potential factors include institutional interest fueled by ETF filing rumors and traders anticipating a price rebound. Simultaneously, Ethereum staking has reached an all-time high of over 35 million ETH, locking coins and potentially reducing selling pressure. This surge in staking, coupled with record levels of “accumulation addresses” (wallets with no selling history) holding nearly 23 million ETH, suggests strong long-term confidence in the ETH network. While short-term indicators like the MACD show some weakness, the combined effect of whale accumulation and reduced supply through staking creates a bullish narrative. However, crypto market volatility necessitates caution, as prices can fluctuate based on overall sentiment and unforeseen events. Despite some mixed signals, Ethereum’s current price stability and the substantial involvement of whales suggest a potential for upward momentum.

(Source: https://www.thecryptoupdates.com/ethereum-whales-drive-2-5k-support-as-staking-hits-35m-eth-ath/)