Despite already high price levels, Ethereum is seeing a robust surge in the Instituteton accumulation trend, with funds and whales increasing purchases. The significant influx of institution-related wallets and newly created addresses has been noted by recent chain trackers, indicating a new belief in Ethereum’s long-term outlook.
The whale is back
At an average price of $3,145, Trend Research sold 79,470 ETH (approximately $250 million) two months ago. The same organization bought back Ethereum this week at a significantly higher price, showing its belief in the potential of cryptocurrency despite its short-term cost inefficiency. Trend Research has removed 9,377 ETH ($4137 million) and borrowed USD 88 million from Aave to deposit Binance in the past two hours. Such actions indicate the active positioning of the institutional players.
In yet another important action, Sharplink sent 379 million USDC to Galaxy Digital. Within 10 hours, four newly created wallets had taken out 78,229 ETH ($342 million) from Kraken. Just five hours ago, Bitmine added momentum by purchasing 46,255 ETH ($200.43 million), increasing its total holding to 2.1 million ETH, worth $9.27 billion.
ETH Market Outlook
With the 50-day moving average serving as a solid support, Ethereum’s charts show a solid trend from a technical standpoint at the approximately $4,200 mark. As demonstrated by the continued balance of RSI, there is still the possibility of growth without over-purchase. These institutional flows have helped ETH maintain a key support zone by offsetting retail uncertainty despite recent declines in trading volume.
As always, Ethereum’s role in the larger digital asset ecosystem is probably why everyone is buying ETH at this time. ETF approval, the growing popularity of scaling solutions, and the role of Ethereum as an infrastructure asset explains the trends we are witnessing.
These large purchases are warning signs for individual investors. Short-term volatility is inevitable, but Ethereum’s underlying demand profile has been strengthened, potentially paving the way for another drive to $5,000. Without a long-term strategy, an institution would rarely deploy hundreds of millions of people.
