Ethereum Price Holds Steady Above $2,900 Mark
Ethereum (ETH), the second-largest cryptocurrency by market capitalization, has shown significant resilience in the past 24 hours, climbing 2% to reach $2,903. The price stability above the $2,900 level underscores its strength as the broader crypto market experienced a 1.24% increase recently, with Bitcoin, Solana, XRP, and Dogecoin also posting gains.
Spot Ethereum ETFs Record Major Inflows
In an encouraging sign for Ethereum, US spot ETFs recorded net inflows of $96.67 million on November 24, marking an end to an eight-day streak of outflows. BlackRock, one of the most influential asset managers, accounted for $92.6 million, showcasing growing institutional confidence in the asset.
Whale Activity and Accumulation Patterns
Whale investors played a prominent role in the market activity this week. Large investor BitMine added 69,822 ETH, valued at over $200 million, to its wallet last week, thereby increasing its holdings to 3.63 million ETH or roughly 3% of Ethereum’s total supply. Notably, whale wallets holding between 10,000 and 100,000 ETH collectively accumulated an additional 440,000 ETH as prices dipped below their average cost basis.
In contrast, smaller whale cohorts exhibited a different trend. Wallets holding between 1,000 and 10,000 ETH offloaded 100,000 ETH, while those in the 100 to 1,000 ETH range sold 120,000 ETH during the same period.
Technical Indicators Signal Mixed Market Sentiment
The technical analysis further illustrates a consolidation phase for Ethereum, as the cryptocurrency continues trading within the $2,700 to $3,300 range. The Moving Average Convergence Divergence (MACD) indicator on the four-hour chart shows bullish momentum, having crossed above its signal line and with a positive histogram reading. However, the Relative Strength Index (RSI) remains near the neutral 50 level, hinting at the need for increased buying pressure to push the price beyond critical resistance levels.
Key Resistance and Support Levels to Watch
Traders are closely monitoring the $3,000 resistance level. A break above this could steer the price toward the upper boundary of its descending channel near $3,100, located just below the 20-day Exponential Moving Average. On the downside, support remains strong at $2,850, with additional backing from the channel’s lower boundary.
Federal Reserve Rate Cut Expectations Fuel Investor Optimism
Rate cut expectations from the Federal Reserve surged recently, climbing from 30% to over 80% for the December meeting. This shift aligns with renewed US investor interest in Ethereum, as evidenced by improvements in the Coinbase Premium Index—from -0.12 last Thursday to -0.02 on Monday, indicating improving US sentiment toward ETH pricing.
Despite this optimism, some uncertainty looms regarding whether the current price levels represent a definitive bottom. Futures markets also recorded a net outflow of $4.31 billion over the last seven days as traders navigated liquidations, which amounted to $80.8 million in the past day, with short positions accounting for $51.3 million.
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