Ethereum whales have ramped up their accumulation, with major players making new purchases at the current price levels. Data revealed that the whale known as “66kETHBorrow” has taken out an additional 120 million USDT loan from Aave, subsequently depositing the funds into Binance, presumably gearing up to bolster existing positions. Lookonchain’s tracking showed that the whale had previously accumulated 385,718 ETH, worth $1.33 billion, before the recent borrowing activity. Analysts noted that this increase in leverage reflected continued interest from wealthy traders, despite the weak spot momentum. Will ETH price movement correspond with the increasing activity of large holders? The revival of the borrow-and-deposit cycle highlighted a rise in whale activity, even as Ethereum’s price made a slight effort to bounce back.
Regardless, the overall structure still showed bearish tendencies on the daily chart after ETH broke through its 10-day consolidation. ETH needed to surpass $4300 to change its direction. Large orders and leveraged inflows, though notable, did not create enough bullish momentum to sustain a strong rally. However, prices may advance toward the $3700 imbalance zone, generating short-term momentum until the Stochastic RSI enters overbought territory. The setup allowed for a possible adjustment if buyers couldn’t maintain their recent progress. The Spot Average Order Size chart showcased notable clusters of substantial orders, emphasizing the continued participation of whales, despite a lack of retail activity. The recent change aligns with the borrowing activity initiated by the 66kETHBorrow wallet.
Ethereum’s rise raises warning signs as ETFs face notable withdrawals. Data confirmed that on November 12th, there were $183.77 million in daily outflows, leading to Total Net Assets reaching $22.14 billion. ETH lingered near $3416 as institutional flows indicated ongoing weakness. The recent trend shows that institutions are reducing their involvement, while at the same time, large investors are still gathering on-chain assets. The divergence has led to a feeling of ambiguity among traders about the immediate direction.
ETH could continue its rise, targeting $3.7K as the market imbalance is resolved. However, ongoing upward trends likely required a change in institutional investments. In the absence of new investments, Ethereum was at risk of experiencing another drop as short-term momentum started to fade.