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Ethereum Signals 20% Upside as Whales Show Renewed Confidence

Ethereum Signals 20% Upside as Whales Show Renewed Confidence
© Copyright Image: TronWeekly

  • A new wallet acquired 9,610 ETH worth $14.54M, showing strong confidence in Ethereums future.
  • 7 Siblings converted 1,611 MKR into 1,364 ETH (~$2M), signaling belief in price appreciation.
  • Dormancy flow below 1M suggests ETH is undervalued; breakout target now set at $1,835.

Ethereum is currently trading above $1,500 as signs of renewed interest appear across the market. Recent movements among large investors indicate a growing level of confidence in the assets future direction, even as the broader crypto market remains cautious.

A newly created wallet has attracted attention by acquiring 9,610 ETH, valued at $14.54 million. According to Spot On Chain, the wallet initially withdrew 5,000 ETH from Kraken. It then secured $7 million in USDS through a loan on Spark, using Ethereum as collateral. These funds were subsequently used to purchase an additional 4,600 ETH at an average price of $1,518.

Source: Spot On Chain

Another group, known as the 7 Siblings, has swapped 1,611 MKR tokens over the past two days, acquiring 1,364 ETH valued at around $2 million. Their strategic moves indicate a strong belief that Ethereums value is poised to rise.

Ethereum On-Chain Metrics Signal Market Reversal

Market analyst Ali Martinez has observed a key on-chain metric that supports the view that Ethereum may be undervalued. On April 11, Martinez pointed out that the entity-adjusted dormancy flow has declined below 1 million. This level has historically been linked with macro bottom zones, where long-term holders are less inclined to sell. 

This historically indicates a macro bottom zone, meaning $ETH might be undervalued and long-term holders are less inclined to sell, Martinez stated.

He also explained that such a trend often reflects weakened sentiment and the likelihood that market capitulation may have already occurred. If that is the case, current market conditions could present a buying opportunity for those looking to enter or expand long-term positions.

Source: Ali_Charts

In a separate analysis, the pseudonymous crypto commentator NotWojak posted a positive outlook for Ethereum. According to the analyst, recent liquidity sweeps have pushed prices to lower lows, yet these could now serve as signals for a reversal. Two supply zones$1,425 and $1,600have been identified as critical levels in the near term.

Ethereum Breakout Target Set Above $1,800

The $1,425 level has already been addressed during the recent retracement, leaving $1,600 as the next point that may become resistance if Ethereum advances. If support holds just below $1,350, as suggested by the analyst, Ether may be in position for a breakout. The projected target for such a move stands at $1,835, which would represent a 20% increase from current levels.

Source: Trading View

While volatility continues to shape the crypto landscape, the accumulation patterns and technical signals currently surrounding Ethereum suggest a possible recovery phase is underway. With millions in ETH gathered by large holders and analysts pointing to undervaluation, conditions appear increasingly favorable for a significant upward move.

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Read more: https://www.tronweekly.com/ethereum-signals-20-upside-as-whales-show-renewed-confidence/

Text source: TronWeekly

Disclaimer: Financial information and news are not financial advice, read the disclaimer.
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