After a turbulent start to the year, the price of the second-largest cryptocurrency shows signs of stabilization, although Ethereum accumulation by large holders has suffered a 90% collapse since January. According to Glassnode data, balances in long-term investor wallets dropped from 338,708 ETH to only 40,953 ETH currently.
Despite the asset experiencing a slight 4.6% rebound in the last 24 hours after hitting $2,160, the market structure appears fragile, suggesting that this recovery could lack the necessary strength to be sustained. The technical report indicates that while a falling wedge pattern remains, the lack of long-term investor conviction weakens any attempt at a sustained rally.
Loss of confidence among large digital asset holders
Investor behavior, assessed through the “hodler” net position change, reveals that Ethereum accumulation has drastically decreased during the February price correction. This phenomenon, characterized by a massive reduction in institutional and retail purchases, suggests that the market has not bottomed out, preventing a solid recovery based on the absorption of circulating supply.
Furthermore, the Net Unrealized Profit/Loss (NUPL) metric stands at 0.007, a value that, while remaining above absolute capitulation, indicates that investor profits have almost completely vanished. Comparing with previous cycles, such as April 2025 where NUPL fell to -0.22, it is observed that significant room remains for further declines before reaching a historic support level.
Can the 2,160 dollar support prevent a deeper fall toward critical price levels?
On the other hand, the flow of assets toward exchange platforms has increased by 50% in just one day, which implies that traders are selling every price bounce to exit the market. This increase in transfers, rising from 23,000 to over 37,000 daily, highlights a latent selling pressure that could push the asset’s value toward the $1,500 zone.
In this way, technical analysts warn that if the critical support of $2,160 is broken, the price would seek Fibonacci extension levels near $1,540, coinciding with massive liquidation zones seen in the past. To reverse this negative trend, Ethereum would need to firmly reclaim the $2,690 resistance, being this the only scenario that would return control to buyers in the short term.
