Whales Withdraw $29M ETH After Ethereum Price Surge 7%: Bullish Rally to Continue?

After a massive downtrend to $1800, the Ethereum price finally recovered today. With the FOMC meeting outcome, the entire crypto market witnessed some recovery, including ETH, whose price surged by 7%, reclaiming the crucial $2,000 mark. This increased investors’ enthusiasm, resulting in large institutional traders like whales withdrawing $29M and others buying in millions, showcasing increased confidence. So, what’s next? Let’s discuss this.

Ethereum Price Soars With Whale Activity and Market Movement

According to the popular onchain analytics platform Lookonchain, three whales withdrew 14,217 ETH, equivalent to $29M, and deposited it onto the Aave. The further action reveals that the whale borrowed 12M USDT from the Aave and transferred to the exchanges again, probably to buy more tokens.

Such moves suggest whales’ confidence in the token. More importantly, it builds speculation of further Ethereum price rallies. Interestingly, the 7% surge coincided with the FOMC meeting, and the Fed kept the interest unchanged.

This resulted in the recovery of the broader crypto market, which includes ETH and other cryptos. In addition, Ethereum co-founder Vitalik Buterin and Tron founder Justin Sun played a significant role.

Recently, Buterin sold many of his assets and received 71.697ETH. At the same time, Sun staked 60,000 ETH, equivalent to $114M, on Lido, yielding him 1,740 ETH annually. This staking move shows Tron’s founder’s confidence in the token, influencing others. This resulted in a trading volume and price surge.

Ethereum Price Outlook & Predictions

Ethereum’s recent recovery has resulted from various technical and investors sentimental reasons. Analysts believe that the token shows strong signs of further recovery. One added that it replicates the 2019-2020 Megaphone pattern, leading to a year-long bullish rally. With that, analyst claims to witness a $6,000 rally before the cycle tops.

We expect at least a 1.5 Fib extension test at $6000 before this Cycle tops.

Another analyst added that ETH is testing the lower boundary of the symmetrical triangle in the 2-week timeframe. A bounce from this would result in the ETH price rally to $4,000. Many similar bullish outlooks reveal that the token is up for major shifts.

However, caution is important as a major resistance lies at $2,575, where it currently trades at $2,014.92 with a market capitalization of $243.05B. A breakout above this key resistance could push it towards $3k and higher. However, the failure would result in the Ethereum falling toward $1,769.

Will Ethereum’s Bullish Rally Continue?

Based on the recent surge, analysts’ Ethereum price predictions, and technical factors, the ETH’s bullish momentum is strong. A breakout is certain if it breaks above the key resistance of $2,575.

However, if the resistance holds, the ETH price may retest $1,769 before attempting another uptrend. Investors must eye the key resistance and support to ensure the sustainability of this bullish momentum.

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Pooja Khardia

With a deep-seated passion for reading and five years of experience in content writing, Pooja is now focused on crafting trending content about cryptocurrency market.

As a dedicated crypto journalist, Pooja is constantly seeking out trending topics and informative statistics to create compelling pieces for crypto enthusiasts. Staying abreast of the latest trends and advancements in the field is an integral part of her daily routine, fueling a commitment to delivering timely and insightful coverage

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.