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Key takeout
Does the whales signal the bottom of ETH?
The 10 whale wallet scoops up the 210k ETH for $4,100, supporting a potential reset as an outlet for weak hands.
Does institutional capital support rebound?
ETH ETFS sees a $290 million spill, and FUD keeps big money cautious and limits its recent benefits.
Market split over whether Ethereum or not [ETH] I’ve put the bottom on. Price-wise, it wiped out all profits in late August and September, about 20% off the $4,900 high.
Most of the profits from the top are already in the books.
In fact, ETH’s realized profits hit a four-year, $2 billion high on September 18th, reaching $4,589. This indicates that 1.84 million sold out, indicating that short-term profits have already been taken from the table.
Simply put, the ETH appears to be ready for a clean reset. In support of this shift, LookonChain flagged 10 whale wallets that accumulated 210K ETH at a $862.85 million on an average cost basis of $4,100/ETH.
Source: LookonChain
In short, whales support reset papers and have on-chain signals.
On the chart, ETH has taken over 9.3% this week, listing the worst weekly leaks in almost two months. Historically, pullbacks of this size often cause strong rebounds, suggesting classic weak hand shaking.
Meanwhile, as Ambcrypto flagged it, Ethereum’s post-liquid flash ran three times deeper than Bitcoin [BTC]resets the position between derivatives. So, the key question now is, is ETH weekly drawdown just a “healthy reset”?
Ethereum FUD causes market convictions
It appears that the institutional capital and smart money are not looking at the eyes.
The ETH ETF saw $290 million spills for three consecutive days. This is the largest since the billion-dollar escape in the cycle in late August/early September. Obviously, the facility is removing tips from the table while whales are stacked.
In short, FUD still holds back a lot of money from being completely committed to “dip.” In support of this, ETH realised losses hit a two-month high of $300 million on September 22, indicating that underwater Hodler has been ejected.
Source: GlassNode
Simply put, traders are cutting positions rather than having through dips.
According to Ambcrypto, this reflects a low belief in short-term benefits. Historically, however, such setups often mark the bottom of the ETH as weak hands come out and coins flow into the stronger holder.
Whale accumulation confirms this trend, but lack of institutional support can continue to calm rebounds.
As volatility is still rising, sudden spikes in leverage can cause pressure, allowing you to round out the next leg of ETH.