Ethereum’s Demand Zone and Whale Accumulation Highlight Potential for Price Recovery

• The recent decline in Ethereum’s price has triggered significant whale activity as investors reposition ahead of potential future gains.

• Ethereum’s price, having recently dipped below $3,000, has drawn attention from large holders who are re-entering the market at what they see as a favorable buying point.

• “Whales or large addresses accumulate during dips and sell at the top,” noted a source from IntoTheBlock, suggesting that current inflows may indicate a potential price recovery.

This article explores the increased whale activity and institutional inflows around Ethereum (ETH) as it tests key demand zones in a fluctuating market.

Whales scoop up over 400,000 ETH

Data from IntoTheBlock revealed that whales have been on a buying spree since 4th February. This can be depicted by the surge in large holder netflows from -109,160 ETH to 174,000 ETH within just four days. This notable shift in netflows underscores the significant whale confidence in Ethereum’s long-term prospects.

(Source: IntoTheBlock)

Whales or large addresses accumulate during dips and sell at the top. Therefore, the rising inflows may be a sign that ETH may have bottomed, paving the way for a recovery. Notably, Ethereum’s whale concentration has increased from 37% to 43% over the past year, indicating that these large investors are starting to wield more influence over price movements.

ETH ETFs inflows hit 2025 highs

Large addresses are not the only cohort buying the recent dip. Institutions also seem to be accumulating after weekly inflows to Spot Ethereum exchange-traded funds (ETFs) rose to a 2025 high. According to SoSoValue data, the weekly inflows to Spot Ethereum ETFs have surged to $420M, marking the fifth-highest level for Ethereum ETFs since their inception in July 2024.

This significant influx of capital from institutional investors suggests a continued bullish sentiment around Ethereum, with many viewing the recent dip as an opportunity rather than a detriment.

Key demand zone for Ethereum

Finally, the In Out of the Money Around Price (IOMAP) metric highlighted a key demand zone below Ethereum’s press time price, specifically between $2,383 and $2,459, where 2.21M addresses purchased ETH.

(Source: IntoTheBlock)

Given the high profitability of addresses that bought ETH at this zone, it could act as an ideal entry point for buyers looking to enhance their positions, while also serving as a support level. If ETH drops to retest this demand zone and confirms buyer strength, it could trigger a price recovery.

However, despite the rising interest from whales and institutions, network activity on the Ethereum mainnet has continued to decline. Ethereum’s gas fees recently hit a 2025 low, hinting at reduced network usage which could pose concerns for ETH’s future price performance.

Conclusion

The current dynamics surrounding Ethereum reflect a complex interplay of whale activity and institutional interest as the coin navigates a pivotal price zone. While recent trends suggest a potential accumulation phase, traders should remain cautious given the waning network activity. It’s a critical time for Ethereum holders and traders alike as they watch for further developments that could influence price movements in the coming weeks.