Ethereum (ETH), the world’s second-largest cryptocurrency by market cap, seems to be struggling after yesterday’s 8.80% gain. Today, January 17, 2025, ETH has retraced nearly 5% of yesterday’s gains, dropping from $3,450 to the $3,260 level.
ETH’s Current Price Momentum
Currently, ETH is trading near $3,331 and has experienced a price decline of over 3.15% in the past 24 hours. During the same period, trading activity increased moderately, resulting in a 5.5% increase in trading volume.
Crypto Whale Buys $9.5 Million Worth of ETH
In the current market conditions, some whales seem to be accumulating ETH and taking advantage of the recent price drop. Recently, the blockchain-based transaction tracker Lookonchain posted on X (formerly Twitter) that a newly created crypto wallet withdrew a significant 2,884 ETH worth $9.57 million from Binance, the largest cryptocurrency exchange.
This marks the second accumulation by a fresh whale, earlier, on January 16, 2024, a new crypto wallet withdrew 1,799 ETH worth $5.92 million from Binance.
$51 Million of ETH Outflow from the Exchanges
Besides this, long-term holders appear to be continuously accumulating the altcoin, as reported by the on-chain analytics firm Coinglass. Data from spot inflow/outflow reveals that exchanges have witnessed an outflow of a significant $51.15 million worth of ETH.
In the cryptocurrency landscape, outflow refers to the movement of assets from exchanges to wallets, indicating potential accumulation and creating buying pressure, which can drive further upside momentum.
The increasing accumulation by whales and long-term holders suggests growing confidence in ETH’s price potential.
Ethereum (ETH) Price Action and Key Levels
According to expert technical analysis, ETH appears bullish and is currently retesting the support level. Additionally, it has formed a bullish falling wedge pattern on its daily timeframe.
Based on the recent price action, if ETH breaches this pattern and closes a daily candle above the $3,500 level, there is a strong possibility it could soar by 15% to reach the $4,000 level in the future.
On the positive side, ETH’s Relative Strength Index (RSI) is below the overbought zone, indicating strong potential for an upside rally.
