Ethereum Price: Analyst Flashes Major ‘Buy’ Signal, Rally to $2,600 Soon?

Key Insights:

• Ethereum price regained momentum and surged beyond the $2,200 resistance level.
• ETH price now eyes rally to $2,600, according to analyst Ali Martinez.
• Whales and corporate entities are hoarding ETH reserves.

Ethereum (ETH) price was in the spotlight again as technical indicators and on-chain data suggested the end of the downtrend. Today, as the crypto market recovered, Ethereum price also surged to an intraday high of $2,308.

Researchers and blockchain information trackers highlight a rise in whale accumulation, exchange outflows, and fresh purchases by renowned crypto personalities.

Top Analyst Bullish on Ethereum Price

Crypto analyst Ali Martinez wrote that the market might have already outgrown its long-term bearish stage. In his analysis on X, he wrote that a popular trend indicator had inverted bullish for the first time in months.

“Ethereum $ETH just signaled the end of the downtrend! For the first time since September, the SuperTrend indicator has flipped from Sell to Buy,” Martinez wrote.

Ethereum Price Analysis | Source: Ali Charts | X

The analyst stated that past instances where the indicator flipped to “buy” led to a steep upward trend for Ethereum (ETH) price. He declared that the previous two indicators were followed by a price growth of 52% and 174%.

He also pointed out an important resistance level that the ETH price broke through recently. “We finally reclaimed $2,200 as support after a 39-day period below it,” he added.

The data on derivatives presents the increased volatility as the traders respond to the recent price fluctuations. In the last 24 hours, total liquidations reached $146.03 million, according to Coinglass. Long positions accounted for $18.20 million, and short positions registered $127.83 million in liquidations.

Traders will likely use the short liquidation proceeds to buy back ETH, which could add to the buying pressure. It could then trigger a ‘short squeeze’, which could support the upward momentum for Ethereum price.

According to Martinez, the Ethereum (ETH) price faces the next resistance at $2,400. If cleared, it could rally to $2,600, which is another critical resistance level in the coming months.

Ethereum Whales Accumulate Massive ETH Stash

Whales’ buying ETH could have also driven the renewed bullish momentum. Martinez noted that spot Ether ETFs have witnessed major inflows in recent weeks while BlackRock launched an Ethereum ETF.

He wrote, “In the last three weeks, ETFs have accumulated 83,000 ETH, worth roughly $193 million.”

In the meantime, on-chain data indicates the increased interest among large investors. Martinez said that 336,000 ETH exited crypto exchanges in the last seven days.

Such a trend is frequently construed as an indication that investors are viewing the asset as a long-term investment.

Crypto analytics platform Lookonchain also found a number of notable purchases associated with notable names in the crypto industry. Early Ethereum developer billΞ.eth bought 7,769 ETH at a total price of $17.46 million today.

The other high-profile buyer happens to be Shapeshift founder Erik Voorhees who is the founder of ShapeShift. Lookonchain indicated that Voorhees acquired 23,393 ETH in two wallets using 49.08 million USDT.

He also initiated further ETH purchases, and now the wallets collectively contain 24,968 ETH worth about $56.5 million. The wallets still have $4.44 million of USDT, which suggests that he can make additional purchases.

Blockchain analytics also reported large movements off the exchanges. Arkham data shows the wallet, 0x352a, has withdrawn 20,000 ETH, valued at approximately $44.83 million, from Coinbase.

Institutional Accumulation Resumes With BitMine

Corporate accumulation also reemerged as Ethereum price soared 7% on Monday. BitMine, a blockchain mining company, claimed it bought ETH directly on the ethereum foundation.

“BitMine is glad to support the efforts of the Ethereum Foundation by acquiring their ETH for a mutually agreed upon price,” the company wrote on X.

The company bought 5,000 ETH as part of the deal. Moreover, BitMine reaffirmed that they would continue to stack ETH. It has further boosted optimism as Ethereum price approaches $2,300.

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