Ethereum Stabilizes at $2,300

Ethereum recently faced challenges in breaking past the $2,500 resistance level, leading to a pullback. Currently trading at $2,354, the altcoin is showcasing early indicators of a gradual recovery.

A noteworthy change in investor behavior, particularly from whale addresses, may provide essential support for a potential upswing.

Whale Selling Activity Reversal

Whale addresses, which hold between 10,000 and 100,000 ETH, had been contributors to the recent price dip, offloading a staggering 640,000 ETH (valued at approximately $1.5 billion) over the last week. This aggressive selling activity significantly impacted Ethereum's struggle to maintain momentum near the $2,500 threshold. However, selling pressure seems to have subsided, indicating a positive shift in market sentiment.

In the past day, whales have paused their liquidations, coinciding with Ethereum's recent price stabilization. This behavior could reflect renewed confidence in ETH's recovery. If these large holders choose to retain their assets, it is likely that Ethereum will experience less volatility and greater price support moving forward.

The Liveliness metric for Ethereum suggests that long-term holders (LTHs) have also ceased selling their holdings. This indicator typically rises when LTHs liquidate assets and declines when they opt to accumulate or hold. Over the past several days, this metric has remained steady, implying a pause in sell-offs.

This trend supports Ethereum’s price stability, reinforcing market confidence among long-term investors. Should LTHs continue to maintain their positions, ETH may gather sufficient momentum for a breakout. A sustained decrease in Liveliness would bolster bullish sentiment, indicating accumulation rather than distribution.

Possible ETH Price Recovery

Ethereum is currently striving to establish $2,344 as a support level, with its trading figure at $2,354. Sustaining this level could enable ETH to recover from its recent losses, eyeing $2,549 as the next significant resistance. A successful retest of this area would confirm bullish momentum.

If ETH manages to break through the $2,549 mark, it might surge towards $2,654. An ascent beyond this may result in Ethereum consolidating below $2,814, echoing patterns from previous market cycles. This would create a stable price range leading to further potential upward movement.

Conversely, a failure to maintain the $2,344 level could lead to a decline, with ETH potentially falling through $2,267 and testing $2,170 as the next primary support. A drop below this threshold would negate the bullish outlook and reinforce bearish momentum in the short term.