According to Cointelegraph: A significant Ether (ETH) whale has made headlines by acquiring 5,000 ETH tokens, valued at over $12.8 million. This purchase comes as Ether struggles to break through a key psychological resistance level.

The last time this particular whale bought the dip was when Ether dropped to $2,100, just before it rallied to $3,100, according to an August 12 post by Scopescan on X (formerly Twitter). Investors often monitor whale activity as it can signal shifts in sentiment around the asset. Notably, this whale’s previous purchase coincided with a local price bottom, followed by a strong price recovery.

Ether whale transactions. Source: Scopescan

Ether Must Reclaim $2.7K to Maintain Upward Momentum

Ether has shown resilience following a significant market sell-off on August 5 and 6, which wiped out $510 billion from the crypto market. Over the past week, ETH has risen by more than 18%, currently trading at $2,655 as of 11:08 a.m. UTC, according to CoinMarketCap data.

ETH/USDT, 1-day chart. Source: CoinMarketCap

However, according to Aurelie Barthere, principal research analyst at Nansen, Ether needs to decisively reclaim the $2,700 resistance level to sustain its upward momentum. Barthere pointed out that Ether recently experienced a "death cross"—a technical chart pattern where the 50-day moving average crosses below the 200-day moving average. This pattern often indicates short-term weakness compared to the long-term trend and can signal a buying opportunity at discounted prices.

Ether ETFs Continue to See Outflows

Despite the recent launch of the first U.S. spot Ether exchange-traded funds (ETFs) on July 23, institutional interest has been underwhelming. According to Farside Investors data, the nine U.S. spot Ether ETFs recorded cumulative net outflows of $15.8 million on August 9.

Spot Ether ETF flows (US dollars, million). Source: Farside Investors

Since their launch, these ETFs have seen a total of $406 million in net outflows, contributing to Ether’s sluggish price performance. Historically, ETF inflows have played a significant role in driving cryptocurrency prices higher. For instance, Bitcoin ETFs accounted for about 75% of new investment in the cryptocurrency by mid-February 2024, helping it surpass the $50,000 mark.

As Ether continues to hover below the critical $2,700 resistance, the market will be closely watching whale activity and ETF inflows for signs of the next potential price move.

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