Ethereum is currently trading in the low-$4,300 range, showing short-term softness but building a compelling foundation for a potential bullish reversal. Investors are keeping a close eye on two major catalysts: institutional demand through ETFs and accumulating activity from large holders, or “whales.”
Institutional Momentum Strengthens ETH
Recently, Ethereum has benefited from substantial ETF inflows—totaling approximately $450 million—driven by major players like BlackRock. This steady influx of institutional capital is providing much-needed stability amid market volatility, reinforcing ETH’s credibility as a long-term investment. These inflows are not only bolstering price support but also attracting retail investors seeking validation from institutional behavior.
Concurrently, whale wallets have been quietly adding to their Ethereum holdings during price dips. Historically, such accumulation patterns often precede recoveries, suggesting that experienced investors anticipate renewed gains ahead.
Technical Setup Shows Tightening Range
Technically, Ethereum is weaving a descending triangle: the support lies near $4,250, while resistance holds around $4,490. The 50-day simple moving average (SMA) around $4,370 is also acting as a near-term ceiling, while the 200-SMA near $3,872 reinforces the broader uptrend. Momentum indicators like the RSI (at ~44) hint at subtle bullish divergence, indicating underlying accumulation despite recent pullbacks.
A decisive breakout above $4,490 could propel Ethereum toward $4,665 and even $4,865, completing the triangle’s structure. Conversely, a breakdown below $4,250 might target $4,070 or even $3,940, with the 200-SMA serving as key downside support.
