Thomas Daniels
Despite intensifying volatility across digital assets, Ethereum (ETH) continues to demonstrate structural resilience, preserving its bullish momentum as Bitcoin (BTC) extends its decline toward $115,000. Market data and institutional behavior indicate that Ether remains on track for a potential move toward the $4,000 threshold.
Institutional Demand Underpins ETH Strength
Since July 9, more than 540,000 ETH—worth approximately $2 billion—have been acquired by eight newly created whale wallets. Notably, just one trading session saw three of these wallets add over 74,000 ETH ($273 million), highlighting the renewed appetite among large holders.
Corporate and institutional interest in Ethereum has surged accordingly. ETH holdings by large entities have doubled within a month, rising from 1.2 million to 2.3 million ETH. Bit Mine, an investment firm headed by veteran strategist Tom Lee, has emerged as a dominant player in this movement. The firm purchased 266,119 ETH ($970 million) in a single week, boosting its holdings to 566,776 ETH, now valued at $2.06 billion—the largest institutional Ether treasury to date.
Technical Indicators Signal Upward Potential
Ether’s price remains supported above $3,500, having recently peaked at $3,850 on Binance. This relative strength contrasts with Bitcoin’s deeper retracement and points to continued bullish structure.
Technical charts reinforce this outlook. On the four-hour timeframe, ETH maintains its position above the 50-day exponential moving average (EMA). On the hourly chart, it is also trading above the 200-day EMA, signaling persistent upward momentum. Analysts are closely watching the emergence of an inverse head-and-shoulders pattern. A confirmed breakout above the $3,750 resistance zone—which coincides with a descending trendline—could trigger a run toward $4,000.
Prominent crypto analyst Byzantine General recently noted ETH’s potential for “another stab at the highs,” underscoring broader market confidence.
Liquidity Risks Could Precede Next Leg Higher
However, technical data also suggest near-term caution. A concentration of more than 245,000 ETH in buy orders on perpetual futures platforms—primarily between $3,000 and $3,400—indicates a growing liquidity gap beneath current levels. While this demand highlights strong interest, it also increases the likelihood of a liquidity sweep before further upside.
Should Ether fall below $3,500, the bullish setup would be compromised. A decline into the $3,150–$3,300 fair-value zone may precede any meaningful rebound.
