ETH: Whale Accumulation and Dwindling Supply Set Stage for Potential Price Surge

A convergence of events—huge accumulation by crypto whales and a historical depletion of exchange reserves—is presently driving Ethereum (ETH) under considerable optimistic pressure. Big investors have bought about 790,000 ETH over the past three weeks, transferring it from exchanges into cold storage or staking, therefore indicating long-term holding plans. This intense purchasing, which includes individual transactions surpassing $48 million, corresponds with ETH stocks on centralized exchanges falling to 18. 95 million, a level not reached since July 2016. Set for a possible "supply shock" is this dramatic drop in accessible supply, made worse by over $900 million in whale withdrawals on July 31st alone. Analysts expect that this dynamic—where decreasing liquid supply meets strong demand—could greatly raise ETH values, with some forecasting a rally toward or above $5,000 should present trends continue.

ETHUSD pared some of its gains following the footsteps of BTC. It hits an intraday low of $3582and and is currently trading around $3862. Overall trend remains bullish as long as support $2000 remains intact. Watch out for $4000, any break above targets $5000. A robust bullish trend will only materialize above $5000.

Immediate support is around $3698. Any violation below will drag the price down to $3675/$3600/$3500/$3200/$3000. A breach below $3000 could see Ethereum plummet to $2770/$2500.

It is good to buy on dips around $3400 with SL around $3180 for a TP of $4100/$5000.