Ethereum Whales Return as Price Dips Below $3,400 — Over $1.1 Billion in ETH Accumulated in 48 Hours
Ethereum’s recent drop below the $3,400 mark — its first dip to this level since August — has not scared away major investors. Instead, large-scale holders, often referred to as “whales,” have taken this correction as a strategic window for accumulation. Blockchain data reveals that these entities have collectively purchased hundreds of thousands of ETH in a remarkably short span, signaling renewed confidence in the asset despite its short-term weakness.
According to data from on-chain monitoring services, whale wallets have amassed a total of 323,523 ETH over the past two days, a haul worth approximately $1.12 billion. This significant buying spree suggests that institutional and high-net-worth investors are positioning themselves for a potential rebound in Ethereum’s price.
The most notable transaction came from a single wallet that acquired 257,543 ETH, valued at nearly $896 million, at an average price of $3,480 per coin. In another example of strategic accumulation, a group of wallets dubbed the “seven siblings” collectively purchased 37,971 ETH, worth around $133 million, at an average cost of $3,515 per token.
Adding to the buying momentum, a whale known for over-the-counter (OTC) Ethereum trades picked up 14,004 ETH at an average of $3,247 — a price close to the recent market low. This move indicates a calculated bet on a price recovery. Furthermore, two newly created wallets entered the market with acquisitions of 10,000 and 4,005 ETH respectively, pushing the combined purchase value to over $47 million.
Altogether, these entities acquired 323,523 ETH at an average price of $3,469, with the majority of purchases taking place when the price hovered just below $3,400. This timing suggests that whales see current price levels as a value zone, potentially anticipating a bounce.
Despite the recent decline, Ethereum’s broader fundamentals remain strong. The network has reached a new peak in transaction throughput, clocking in at 24,192 transactions per second (TPS). This milestone reflects the increasing efficiency and demand across Ethereum’s ecosystem, even as prices retrace.
Market observers believe that this wave of whale accumulation could lay the groundwork for a bullish reversal. Historically, such behavior has often preceded price stabilization or even upward momentum. The $3,200 level has so far held firm as a support zone, likely fortified by the recent influx of capital from large holders.
If Ethereum can maintain its footing above $3,200 and regain momentum to reclaim the $3,800 resistance level, analysts predict a possible rally toward the $4,000 mark in the near term — possibly before the month ends. A strong weekly close above $3,800 would be a key confirmation of this bullish outlook.
In addition to whale behavior, other on-chain metrics are beginning to show signs of recovery. The number of active addresses and the volume of transactions are gradually climbing, indicating increased network engagement. Such patterns often correlate with price appreciation, as growing on-chain activity suggests broader usage and investor interest.
Interestingly, funding rates on derivatives platforms have started to turn negative, signaling an increase in short positions. This raises the possibility of a short squeeze — a scenario where short sellers are forced to buy back ETH at higher prices, thus fueling upward momentum.
Long-term holders also appear unfazed by the current volatility. Data shows that coins have been moving into cold storage, a trend typically associated with accumulation by investors with a long investment horizon. This behavior contrasts with panic selling, indicating underlying confidence in Ethereum’s long-term potential.
Ethereum’s role in the broader crypto market cannot be overstated. As the second-largest cryptocurrency by market capitalization, it plays a pivotal role in DeFi, NFTs, and smart contracts. With Ethereum 2.0 upgrades continuing to enhance scalability and efficiency, many believe that its current valuation could be undervalued relative to its future utility.
Moreover, macroeconomic factors such as declining interest rates and increased institutional interest in digital assets could further support Ethereum’s price in the medium to long term. The ongoing development of layer-2 scaling solutions and integration with real-world assets also positions Ethereum for broader adoption.
In conclusion, while market sentiment may appear shaky on the surface, the recent accumulation by whales and the robust performance of Ethereum’s network indicate that the crypto is far from weakening. On the contrary, the current price correction might be laying the foundation for the next leg higher. Investors should keep a close eye on key resistance levels and network activity as Ethereum navigates this critical phase.