Ethereum (ETH) has been showcasing a strong performance, recently forming a bullish pennant on the hourly chart. This large-cap altcoin, with a fully diluted valuation of approximately $432 billion, has successfully rebounded from a crucial support level above $3,542. As of the early Asian session on Friday, Ethereum is trading close to $3,595. As Bitcoin bulls reignite the rally towards $100,000, Ethereum is positioning itself to achieve a multi-year high. The altseason is gaining momentum, signaling a potential reversal in Bitcoin dominance.
Ethereum’s Whales on the Move
Recent activities on the Ethereum network have highlighted significant whale movements, accompanied by a notable increase in stablecoin balances. On-chain data reveals that two major Ether whales have made substantial sales in the past 24 hours. Notably, Jeffrey Wilcke, Ethereum’s co-founder, transferred 20,000 ETH, valued at over $72 million, to the Kraken exchange on Thursday. Similarly, Winslow Strong, director of the Qualia Research Institute, deposited 9,380 ETH, worth about $33.7 million, to Coinbase earlier today, as analyzed by Spot on Chain.
In contrast, the US spot Ether ETFs are demonstrating growing interest from institutional investors. In a significant acquisition, a major whale recently invested $64 million to purchase nearly 20,000 ETH from the Bybit exchange over the past two weeks. Such activities indicate a dynamic market scenario driven by influential investors.
Midterm Target
Analyzing Ethereum’s technical landscape, the potential for sustained bullish momentum remains high. In the four-hour timeframe, Ethereum’s price is targeting a level of $3,911, aligning with the 2.618 Fibonacci Extension. If Ethereum continues to mirror its previous cycles, the possibility of reaching unprecedented levels becomes increasingly plausible, especially with the introduction of Ethereum ETFs and growing institutional interest.
Conversely, should bearish sentiments arise, Ethereum’s price is expected to find solid support above $3,285. This support level has proven resilient, with the price rebounding from it thrice in the past week, indicating its significance as a stronghold for buyers.
Market Picture
As November’s bullish momentum draws to a close, Ethereum’s market volatility is anticipated to persist through the year’s end. Open Interest (OI) for Ethereum has surged to a new all-time high, surpassing $24 billion, illustrating increased demand driven by FOMO traders. According to Coinglass’s market analysis, a price surge to $4,000 could result in the liquidation of approximately $850 million from the ETH market.
In conclusion, Ethereum’s market dynamics are currently fueled by a combination of whale activities, growing institutional interest, and robust support levels. As the market navigates potential highs and supports, investors remain watchful for emerging trends and opportunities.
