The price of Ethereum (ETH) crashed to $3,400 on Wednesday, April 10, following the US March CPI report, which showed strong inflation numbers. Yet, ETH has bounced back from a slump almost reaching $3,560 once more by the time of this writing. This ETH price increase is against the background whale accumulation with high purchase volumes.
Ethereum (ETH) Whale Accumulation
The analysis of Ethereum blockchain data revealed that one of the whales in crypto markets bought a remarkable amount of Ethereum (ETH), as Lookonchain stated. Roughly 10,309 ETH, or an equivalent of $35.82m, has been purchased in the past two hours during the market downsides. The investors had previously established another investment that took place a week earlier. They made that purchase on the 6th of November, buying 10,643 ETH, valued at $36.75 million. This purchase was made when BTC was trading just below $500.
A whale bought 10,309 $ETH($35.82M) 2 hours ago at the bottom of the market drop.
And he also bought 10,643 $ETH($36.75M) before #BTC rose on Apr 8.https://t.co/41366OnM5Y pic.twitter.com/hhJLDOQf1L
— Lookonchain (@lookonchain) April 10, 2024
These acquisitions show that the investor is confident about the price of the asset, where he takes advantage of the market chaos to buy cheap and sell expensive.
On the other hand, according to the VR Soldier, the amount of Ethereum in the open market is increasing and the futures call is also increasing, which indicates that ETH is likely to rise in the future. The analysts are confident that the ETH price recovery should be able to sustain the price up to the $4,000 mark.
ETH Price Forcast
Ethereum is now trading at roughly $3,500, with a modest positive correlation with the 100-hourly Simple Moving Average. First major resistance is near $3,600 or the 61.8% Fibonacci retracement level. The initial barrier is estimated as being $3,650, then comes the major resistance at $3,725 and the final obstacle at $3,780. At the price level of $3,800, a breakthrough can be considered as a good sign that will probably pull up the market.
If $3,600 resistance is not breached then this might result in a correction. The first support is likely to be found at the $3,520 level. The $3,500 support level may be more significant. A slight fall below the $3,400 zone is possible, but it could be followed by a test of this level.
