Ethereum (ETH) is trading at $2,651.60 at writing time, still holding the key support area slightly above $2,600. Despite recent bearish market action, Ethereum proved tough with bullish buyers regularly rushing to protect this important line in the sand. The cryptocurrency’s next point of resistance sits at $2,700, with bullish traders targeting a move up to the $2,750 region. As recent data found that Ethereum whales accumulated 11 of these assets. This is the biggest single-week inflow for six years, and it reflects their exuberant confidence in the digital asset’s future.

Technical Analysis and Price Levels

Throughout the last several weeks, Ethereum has been moving in a distinct horizontal channel. It has previously moved between the $2,500 level and its immediate upside resistance of $2,750 detailed on the 4-hour chart. Each time the market dipped below the $2,600 mark, there was buying interest right beneath the surface indicating some heavy support underneath this level.

As it stands, recent price action has carved out a short term higher low. This indicates that buyers are intent on defending the $2,600 support level with fierce urgency. As long as Ethereum can hold above this level, there is room for bullish continuation to push prices higher.

The important support levels to note are at $2,600 and $2,550. An abrogation of these thresholds might signal a change in market psychology. Bulls have completely flipped the market sentiment. As things stand, they are now gunning for the $2,700 resistance and could be headed for a run towards $2,750.

Whale Accumulation Signals Confidence

Well, new data has shown significant builds of Ethereum by whale wallets. Wallets with between 1,000 and 10,000 ETH experienced an enormous one-day net increase of over 818,000 ETH. This herculean sum is estimated to be worth $2.5 billion. This is the biggest single-day inflow in six years, showing the raging confidence from the whales in ETH.

Ever since the beginning of 2024, whale wallets have shown remarkable growth in total holdings. They soared from around 11.9 million ETH to more than 16 million ETH by June. This degree of accumulation almost certainly reflects a bullish outlook among these major players, which can further affect overall market sentiment and price action.

Whale holdings have increased massively. This 40% jump was mostly due to anticipation over future Ethereum network upgrades, enticing staking rewards, and just a downright upbeat mood in the cryptocurrency market. This accumulation trend is a positive fundamental development, which could help Ethereum’s price in the upcoming weeks.

Market Outlook and Potential Scenarios

Given today’s stark market realities, Ethereum finds itself at a critical turning point. The cryptocurrency’s capacity to stay above the $2,600 support area is crucial for preserving bullish momentum. If bulls can claim the $2,700 resistance, they might push prices up to the $2,750 area. Tell Congress to pass even higher levels next!

A failure to hold over $2,600 might result in a check of the $2,550 support. A drop beneath this hurdle could indicate a more significant correction. Yet the strength of this whale accumulation suggests an impressive level of support has been built, meaning any downside risk may be tempered.

Market participants must continue to watch intensely market price action in these structural important levels. They need to watch for any changes in whale activity to determine which direction Ethereum’s price is likely to go. The net sentiment is still very cautiously optimistic, considering the strong support and the ever-growing accumulation by the so-called whales — large holders of BTC.