In the last week, significant happenings have occurred in Ethereum’s (ETH) whale segment, with hands changing over 530,000 ETH.
This inordinate amount of whale action points to a market under pressure, with long-term holders apparently capitulating. If this development sent a chill up your spine, freeze it. Ethereum remains a fine accumulation candidate, with an impending 2.0 upgrade allowing it to usurp the market share of Bitcoin (BTC) and potentially everyone else.
Whales have moved over 530,000 #Ethereum $ETH in the past week! pic.twitter.com/ecIDbvcSEi
— Ali (@ali_charts) April 9, 2025
Right now, the Ethereum market seems to be moving toward a key price area—one that, in the past, has indicated the market was nearing a bottom and has provided strong buying opportunities. When you look at this recent price action and the fact that large holders are taking profits and/or adjusting positions, you have to ask: does this situation spell impending bottom for the Ethereum market? Or is it more likely that we are going to see further price weakness in the near future?
Ethereum OG Sells 10,702 ETH After Two Years of Dormancy
A recent development that is worth talking about came from a person who is considered to be one of the original Ethereum investors. This individual sold 10,702 ETH—which was worth about $16.86 million at around $1,576—just a few days ago. This is a significant development not just because of who it is, but also because this individual held this Ethereum for a very long time. Supposedly, this person held the Ethereum since 2016, when it was worth just $8.
This sale’s timing is interesting. Even though Ethereum hit over $4,000 during the 2021 bull market, this investor did not choose to sell then. Instead, the dip that is now signaling a bear market saw this investor finally executing their option to sell. Why would an attractive asset holder sell at what seems to be a low point? This action seems to fly in the face of conventional market wisdom.
An Ethereum OG dumped 10,702 $ETH($16.86M) at $1,576 again after 2 years of dormancy.
He received the $ETH as early as 2016, when the price was just $8.
Interestingly, he never sold when $ETH was above $4,000 — but always chose to sell during major dips.… pic.twitter.com/YZrLWT5exF
— Lookonchain (@lookonchain) April 10, 2025
Ethereum’s durability through extended slumps implies that numerous holders are maintaining a long-term perspective on the asset, looking for greater valuations. Nonetheless, this most recent broad-based liquidation seems to suggest that a number of investors might be shifting their outlooks, potentially in response to worries about more pronounced downside risks developing in the near term.
Ethereum ETFs Face Continued Outflows Amid Market Uncertainty
The market sentiment surrounding Ethereum appears to be under pressure. On April 9, a total net outflow of $11.19 million left Ethereum spot ETFs, marking yet another day that they did not enjoy any inflows. Of the nine Ethereum ETFs, none experienced net inflows, which could indicate a lack of institutional confidence in the current Ethereum marketplace.
On April 9, Bitcoin spot ETFs saw a total net outflow of $127 million, marking the fifth consecutive day of net outflows. Ethereum spot ETFs recorded a total net outflow of $11.1873 million, with none of the nine ETFs experiencing any net inflows. https://t.co/Hj2Gs49bWa
— Wu Blockchain (@WuBlockchain) April 10, 2025
The consistent outflows from Ethereum ETFs could be a sign of institutional interest that is not as strong as it once was—or possibly of market conditions that make institutional interest less likely. The sentiment expressed by ETF investors is being tested by a number of external factors, including regulatory uncertainty, that are affecting the whole market—Bitcoin, for instance, is not doing any better, and is also seeing outflows from its own ETF. Despite this, I’m still kind of optimistic about Ethereum.
Currently, these outflows cast a spotlight on the deliberate and prudent path taken by institutional investors. They do not appear to be running back into the arms of the crypto markets yet. And in contrast to retail investors, institutional investors take a lot of time to make decisions. Yet, in their defense, institutional investors command a lot of capital. So their re-entry and exit can make waves in the crypto market.
Is This the Right Time to Accumulate Ethereum?
As Ethereum nears a support zone that many analysts regard as crucial, the longer-term forecast for the asset remains unclear. Whales have been on the move, transferring large swaths of E T H to various new addresses. The signals from these big holders, however, are far from straightforward. One key long-term holder has recently sold a sizable amount of E T H, dumping it during a market dip instead of at what many would call a more favorable price point near the recent top.
Long-term holders throwing in the towel seems to be a potentially ideal situation for contrarian investors to start accumulating. We’ve historically seen that when the widespread fear and uncertainty of a market bottom leads to a sharp recovery, it’s because attractive buying opportunities present themselves at risk-reward ratios that make sense. And right now, if you’re a contrarian investor, the setup seems to be ideal.
Long-term #Ethereum $ETH holders have entered "capitulation" mode. For contrarians, this could signal a prime accumulation zone from a risk-reward standpoint.
Go to @SimpleFXcom, claim the deposit bonus here: https://t.co/ChoFIwIw4v, and buy the dip! pic.twitter.com/1O2ZpqikWS
— Ali (@ali_charts) April 9, 2025
If you’re planning to get into Ethereum but want to do so at a lower price, now might be an opportune moment. The token has been bouncing around a well-defined support level and has offered significantly better returns than the overall crypto space since the middle of June. Still, ample warning signs and indicators suggest that these bounces—and any potential gains realized by retail investors—are likely to be sold into by Ethereum’s large and deep investor base.
In the end, the next couple of weeks will be very important in deciding whether Ethereum holds the currently critical support levels or whether a continuing price slide tests the faith of even the most loyal holders. From the perspective of anyone looking at this market over the long haul, the appearance of Ethereum’s cryptographic money in our world is hard to see as anything but a net positive. Its foundational strength, in both the architecture of its underlying blockchain and the well-nigh irresistible decentralized finance (DeFi) applications built upon that blockchain, seems to make it a good bet. At the very least, it should be a doubly good bet when it is available at a price reduced from its previous highs.
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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