Whales are accumulating Ether, signaling potential for future price gains despite the cryptocurrency's current struggle below $2,700.
Ether remains unable to break through the critical $2,700 resistance level, raising concerns about its ability to sustain recent price momentum.
U.S. spot Ether ETFs have seen $406 million in net outflows since launch, highlighting weaker-than-expected institutional investment.
Major Ether investors, Whales," are steadily growing their holdings as the coin tries to overcome a significant resistance level.
Whales acquired 5,000 Ether tokens worth over $12.8 million at current valuations.The accumulation is occurring at a moment when the price of ether has not been able to move past the $2,700 resistance level.
https://twitter.com/0xScopescan/status/1822945847283474658 Whale Activity Suggests Potential Price Shift
Investors keep a close eye on the buying habits of whales because they provide insight into the overall sentiment of the market.
When Ether dropped to $2,100, that is when this specific whale last bought it. Ether's value quickly increased to $3,100 as some analysts interpret this recent purchase as a hint that a comparable price movement may be approaching.
Nevertheless, it is noteworthy that Ether has not yet overcome the $2,700 barrier, which is essential for additional upward momentum.
Ether's Struggle to Break Resistance
Ether has recently recovered 18% after a significant sell-off, but it is still below the crucial $2,700 resistance level. The price of the cryptocurrency increased to $2,655 last week, but it was unable to sustain that gain.
Analysts have noted that, for Ether to maintain its upward trajectory, it needs to decisively reclaim the $2,700 resistance level. Failure to do so might indicate a possible downturn or even more consolidation.
ETF Launches Fail to Boost Institutional Inflows
It was expected that the introduction of the first spot Ether exchange-traded funds (ETFs) in the US would increase institutional interest in cryptocurrencies. The outcomes, though, have not been impressive.
In total, the nine US spot Ether ETFs have seen net outflows of $406 million since their launch on July 23. Since institutional inflows are essential for generating significant price appreciation, these outflows have contributed to Ether's lagging price action.
A comparable effect to that of Bitcoin ETFs, which constituted a sizable amount of fresh investment in the cryptocurrency, was what institutional investors had hoped for.
There have not been any significant inflows despite the historic launch of these Ether ETFs. The difficulties Ether has in becoming as widely accepted as Bitcoin are highlighted by this circumstance.
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