Despite the recent dip in ETH prices, Ethereum whales appear unconcerned, as on-chain data shows a significant accumulation tendency.
According to crypto analyst Ali, whales have scooped up over 450,000 ETH in the past 30 days. Ali posted a screenshot of the Ethereum balance by holder value indicator, which showed an increase in the balance of Ethereum large holders (from 10,000 to 100,000 ETH) to 16.7932 million.
Whales have accumulated over 450,000 #Ethereum $ETH in the past month! pic.twitter.com/iog41CbHLo
In the last 24 hours, ETH was down 5%, trading at around $2,472, extending its slide for the fourth straight day. This comes after Ethereum’s rally stalled near $2,739 on May 13, shy of the 200-day simple moving average (SMA) at $2,701, a resistance level that halted recent ETH bullish momentum. Since then, ETH price has steadily declined, mirroring the profit-taking in the overall crypto market.
Ethereum was a standout performer in last week’s market surge, rising from lows of $1,808 on May 8 to $2,739 on May 13. Moving forward, eyes will be on a sustained breach above the daily SMA 200 at $2,700. Ethereum breaching $3,000 again would likely happen in tandem with that milestone.
Glassnode reported that BTC dominance peaked on May 8 at 64.4%. Since then, ETH dominance has increased to 9.75% (+3%), altcoins to 22.35% (+2%) and stablecoins to 6.3%. In the coming days, eyes will also be on this key metric.
Ethereum reversal imminent?
For the first time since 2019, ETH fell into an extreme undervaluation zone relative to Bitcoin, as measured by the ETHBTC MVRV indicator. Historically, similar conditions in 2017, 2018 and 2019 were followed by times when ETH outperformed Bitcoin significantly, indicating a strong mean reversion potential.
According to CryptoQuant, the relative price of ETH compared to Bitcoin may have reached a bottom, indicating the start of an “alt season.” The ETHBTC price ratio has risen 38% in the last week, after reaching its lowest point since January 2020. This ratio level has traditionally represented a “relative” low for ETH, preceding broader altcoin outperformance.
