- Ethereum whales and institutional investors are moving large amounts of ETH to cold storage, suggesting bullish sentiment and a potential price rise.
- Over $1.2 billion worth of ETH has been withdrawn from exchanges in recent weeks, indicating reduced selling pressure and HODLing.
- Whales moving 30,000 ETH each from Bithumb further highlight strong institutional interest.
- Analysts predict an ETH price rally to $3,000-$4,000 supported by upcoming upgrades and technical analysis.
- Ethereum has been trading above an ascending trendline since October 2023, suggesting that its bulls are strong underneath
Ethereum, the second-largest crypto by market cap, has been showing signs of strong interest from the whales and institutional investors over the last few weeks, considering how several on-chain indicators point to a possible price explosion in the coming months.
According to analysts, Ethereum is looking at a price rally to anywhere between $3,000 and $4,000 soon.
Ethereum Outflows Indicate Bullish Sentiment
One of the best ways to gauge how interested whales are in a cryptocurrency is to gauge the exchange outflows.
When large investors pull their coins off exchanges, it means that they are less interested in selling, and would rather HODL on.
This is exactly what has been happening over the last few weeks.
According to a recent tweet from crypto analyst, Ali Martinez, investors have pulled nearly 510,000 ETH, worth around $1.22 billion from major exchanges all over the world, in the last three weeks.
Ali says that this indicates a strong bullishness in HODLer sentiment, which is set to put a lot less bearish pressure on the price of the cryptocurrency.
Ethereum, as it turns out, needs all of the bullish sentiment that it can get, according to its outlook in the charts, as we will soon see.
Whales Pull $60,000 off Bithumb In Mere Minutes
As a testament to this interest of the whales in ETH, this week, something interesting happened.
According to whale activity tracking service, Whale Alerts, an anonymous crypto whale with address (0x7ae85c46…) allegedly pulled a whopping 30,000 ETH (worth about $68 million) off Bithumb.
If that wasn’t enough, another whale (with address 0x5c21e22b…), just minutes after, did the same thing with another 30,000 ETH.
This amount of ETh being pulled off exchanges is a testament to how $1.22 billion got pulled out of exchanges in three weeks, and could be one of the biggest pointers to an incoming ETh rally.
Ethereum Price Targets and Catalysts
The price of Ethereum has been stabilizing near $2,300 for some time. However, it has also been able to hold onto a critical support level at $2,150.
According to crypto analyst, Michael van de Poppe, Ethereum has the potential to break above $3,000 in the second quarter of the year thanks to this support level, and if the cryptocurrency continues to push upwards.
This outlook from van de Poppe also coincides with the incoming Dencun upgrade on the Ethereum network, which is slated for its final testnet run on February 7th.
In the charts, we can see that Ethereum is trading on top of an ascending trendline, and has been doing so since October 2023.
Ethereum is also being guided gently along by its 50-day exponential moving average and appears to be afloat and safe (to some extent from its bears.
We can further see Ethereum flourish if it keeps from breaking below the ascending trendline as shown, and continues to push upwards as Michael van de Poppe mentioned.
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