Despite Ether’s (ETH) recent drop to $3,000, ETH accumulation by whales has intensified. One unknown whale has purchased $1.38 billion in the last 10 days, according to data from Arkham Intelligence. This move is sparking hopes of a short-term price recovery.
The analytics firm Arkham Intelligence reported on Wednesday that the whale added $105.36 million today alone. This entity holds $563.9 million in spot ETH and $818.7 million in loan positions on Aave. Furthermore, it has borrowed $270 million in stablecoins, presumably to expand its leveraged position.
Are institutions signaling Ether’s market bottom?
This behavior is not isolated. Lookonchain also reported another whale that deposited 83,816 ETH ($288.6M) on Aave. This entity borrowed $122.89 million in stablecoins to buy more ETH. Likewise, the company BitMine reinforced its position as the largest corporate holder of ETH. It added 110,288 ETH, bringing its total holdings to 3.5 million ETH, valued at $12.5 billion.
This strong ETH accumulation by whales and institutions suggests confidence in the asset. From a technical perspective, ETH’s price is forming a V-shaped recovery pattern. The price is currently testing the 100-day simple moving average (SMA) at $3,450. Breaking above this level is crucial for bulls looking to confirm the uptrend.
If ETH surpasses the SMA resistance, the next target is the pattern’s neckline at $4,172. Several analysts believe that ETH has the ability to rise to $4,000 before December. The falling exchange supply and a robust tokenized Ethereum economy support this bullish outlook, viewing the recent dip as a buying opportunity.
