Ethereum (ETH) is currently experiencing a surge in price, with projections indicating that it could reach the $3,800 to $4,200 range and potentially target $4,500. This positive outlook is supported by the "In/Out of Money Around Price (IOMAP)" indicator, which highlights significant accumulation levels.
Recent data shows that whales are actively buying ETH, with one notable transaction involving a $7 million acquisition at a price of $3,900. Ethereum has seen a remarkable 19% increase over the past month and is getting closer to its all-time high of $4,891.
Whale activity is further evidenced by the withdrawal of 130,000 ETH from centralized exchanges for self-custody in the past week. This accumulation follows a significant price drop to a monthly low of $3,016, indicating a strategic move by large investors to take advantage of lower prices. Additionally, another whale has been observed accumulating millions in ETH over recent months, with a recent purchase of 1,800 ETH executed at $3,900.
The performance of Ethereum Exchange Traded Funds (ETFs) is also noteworthy, particularly with BlackRock's iShares ETHA, which has recorded inflows for eight consecutive days, amassing $1.05 billion during this period. This influx of capital from institutional investors reflects growing confidence in Ethereum's potential. Analysts suggest that the combination of significant ETF inflows and whale activities could drive ETH above its all-time high, potentially reaching $5,000 shortly after Christmas.
Analysts also highlight that Ethereum is currently positioned for accumulation at a discount, forming a bullish pattern. A breakout above the $3,800 and $4,000 resistance levels could signal the start of a substantial bull run, potentially extending into 2025. The volume of ETH held at $3,715 is significantly higher than at $3,830 and $4,274, indicating that the asset is poised to target the $4,500 mark.
Positive sentiment is further supported by a surge in daily active addresses (DAA), which have increased by nearly 7% in the last 24 hours, surpassing the 600,000 mark. Additionally, the net network growth has risen by 0.30%, entering bullish territory. These metrics suggest increased user engagement and interest in the Ethereum ecosystem, which could contribute to upward price momentum.
While some analysts predict that ETH could potentially reach $10,000, they caution that failure to maintain above a critical support level could lead to a significant price correction, with potential declines to the $2,500 to $2,800 range. This scenario could present an attractive accumulation opportunity for investors.
As Ethereum continues to navigate the cryptocurrency market, the interplay between whale activity, institutional inflows, and user engagement will be crucial in determining its price trajectory. The current landscape suggests a mix of optimism and caution as investors weigh the potential for gains against market volatility.