Ethereum Sentiment Drops, But Whales Signal Reversal
Key Takeaways
Ethereum (ETH) is experiencing the most negative market sentiment in a year. Despite this pessimistic outlook, on-chain data shows increasing activity from large investors (so-called “whales”), which could indicate a potential trend reversal. Additionally, the upcoming Pectra upgrade may play a crucial role in future price developments.
Ethereum Struggles with Negative Market Sentiment
The overall sentiment toward Ethereum has dropped to its lowest level in a year. Negative comments dominate social media, and ETH is underperforming compared to other major cryptocurrencies. Historically, such negative sentiment can signal a reversal, as many investors see these phases as buying opportunities.
Key Support and Resistance Zones
Ethereum is moving within a falling wedge pattern, indicating a continued downtrend. Currently, ETH is testing a key support zone. At the time of analysis, the price was $2,303.17 – an increase of 5.72% within 24 hours.
If the price continues to recover, resistance levels at $2,540 and $2,847 will be crucial. A breakout above these levels could initiate a trend reversal and push ETH toward $3,476. However, if the price falls below the support zone of $2,200 to $2,100, a decline to $2,000 could follow.
Increasing Activity from Large Investors
On-chain data shows a 4.75% increase in large transactions. This suggests that institutional investors are accumulating ETH. In the past, such movements have often preceded price increases, as major market participants tend to buy more during uncertain phases.
When whales purchase Ethereum at key support zones, it can lead to a supply shortage and drive the price upward. If this trend continues, ETH could soon experience stronger upward momentum.
You should read that too:
-
Best Casino Alternatives for 2025Reading time: ~ 3 minutes
-
Farm Slots – Play the Best Farm-Themed Slot Games
Reading time: ~ 3 minutes
-
Anime Slots – Anime-Themed Slots
Reading time: ~ 3 minutes
-
Space Slots – Best Space-Themed Slots
Reading time: ~ 3 minutes
-
High Volatility Slots
Reading time: ~ 3 minutes
More Active Ethereum Addresses Despite Price Decline
Despite weak price performance, the number of active Ethereum addresses is rising. Over the past week, the number of new addresses grew by 2.96%, while active addresses increased by 2.89%. Additionally, the number of addresses with a non-zero balance rose by 2.27%.
This development indicates that the network remains actively used. An increase in active addresses can be a sign of an upcoming recovery, as more users interact with the Ethereum ecosystem.
The Pectra Upgrade as a Potential Catalyst
The Pectra upgrade has been successfully implemented on the Sepolia testnet. This upgrade aims to improve staking efficiency, enhance scalability, and make Ethereum more attractive to institutional investors.
However, technical issues with the Holesky testnet implementation have caused delays. If Ethereum can resolve these challenges, the upgrade could boost confidence in the network and drive higher demand for ETH.
Our Assessment
Ethereum’s current market situation presents a mix of uncertainty and potential opportunities. The negative sentiment could trigger a trend reversal, especially if large investors continue to accumulate. Additionally, the increasing network activity signals sustained Ethereum usage.
The Pectra upgrade could act as a catalyst for recovery if technical issues are resolved in time. The key factor remains whether ETH can hold current support levels and break through resistance zones. Investors should closely monitor market developments to identify potential entry points.
| Symbol | ETH |
| Coin type | Alt Coin |
| Transaction Speed | Medium |
| Pros |
|
| Cons |
|
| Further practical applications | |
| Price | $2,203.15 |
| 24h % | -0.58 % |
| 7d % | -3.76 % |
| 30d % | -20.79 % |
| 60d % | -39.39 % |
| 1y % | -43.01 % |
| Market Cap | $266,605,826,301.00 |
| Official Links | Website | Source Code |
| Socials | Reddit | X |
Advertising transparency