Ether (ETH) has demonstrated impressive resilience during the recent market correction, holding its ground above the $3,500 support level while Bitcoin (BTC) has slipped to new lows. After reaching a yearly high of $3,850 on Binance, ETH's ability to maintain its bullish structure has analysts eying a potential move toward $4,000.
From a technical standpoint, Ether's short-term charts remain strong. It's holding above the 50-day exponential moving average (EMA) on the four-hour chart and the 200-day EMA on the one-hour chart, indicating sustained strength. A potential inverse head-and-shoulders pattern on the one-hour chart suggests a breakout could be imminent. A confirmed move above the $3,750 resistance level could trigger a run to $4,000.
However, this bullish outlook isn't without risk. If Ether fails to hold the $3,500 level, the uptrend could be invalidated, and a drop to the fair value gap between $3,150 and $3,300 could occur before any recovery.
The primary driver behind Ether's recent strength appears to be significant accumulation from large investors. Since July 9, eight new whale wallets have bought a staggering 540,460 ETH, worth nearly $2 billion. This trend continued on Thursday, with three more wallets scooping up another 74,207 ETH.
This strategic accumulation isn't limited to individual whales. Corporate holdings have nearly doubled in the last four weeks, climbing from 1.2 million to 2.3 million ETH. Tom Lee's firm, Bit Mine, has been a major player, acquiring 266,119 ETH in the past week alone, bringing their total holdings to 566,776 ETH, valued at over $2.06 billion, and establishing them as the largest institutional Ether treasury.
While this influx of capital signals strong long-term confidence, one technical signal suggests a potential short-term pullback. There are a record 245,000 ETH in buy orders stacked on perpetual futures books, mostly concentrated between the $3,000 and $3,400 range. This indicates strong demand but also highlights a liquidity gap. With order books tightly aligned, a short-term price sweep into this buy zone to fill those orders before resuming the uptrend remains a distinct possibility.
July 2025, Cryptoniteuae