Ethereum Spot Order Activity Hints at Institutional Re-Entry, Analysts Claim
The post Ethereum Spot Order Activity Hints at Institutional Re-Entry, Analysts Claim appeared com. In brief Cohorts holding 10, 000-100, 000 ETH have grown their balance by 52% since April. Analysts see a high probability of a local bottom near $3,200, contingent on stable macro conditions. The Fusaka upgrade could boost L2 scalability but may also reduce network fee revenue. A distinct shift in Ethereum’s spot order activity suggests large investors are accumulating the asset at discounted prices, reflecting behavioral changes that have historically signaled potential trend reversals. So-called whales, holding 10, 000-100, 000 ETH, have increased their balances by 7. 6 million tokens since late April, a 52% increase. At the same time, retail wallets holding 100 to 1, 000 ETH have sold off, reducing their holdings by 16%, according to CryptoQuant data. The metric measuring higher-than-average spot volumes for executed trades was observed multiple times after Ethereum dropped to $3,000 in early November. The pattern often marks “the start of trend reversals or late-stage compression phases before major upswings,” according to CryptoQuant verified analyst ShayanMarkets. A second wind? “The likelihood of whale accumulation forming a local bottom remains high,” Shawn Young, chief analyst of MEXC Research, told Decrypt. “This cycle looks similar to previous bottoms, marked by large wallets absorbing sell-side liquidity from short-term holders.” Young pointed to the stability of the ETH/BTC ratio at multi-month lows as a sign of relative strength. That’s further supported by a 25% uplift in daily transactions from September levels and by the normalization of the staked Ethereum discount following the $19 billion market wipeout on October 10. The marker is not confined to Ethereum and reflects the recent shift in broader market dynamics, driven by an improving macroeconomic outlook, including the possibility of an end to one of the U. S.’s longest-running government shutdowns. “Whale accumulation makes sense, and we see the same for Bitcoin as well, with new participants coming. Continue reading Ethereum Spot Order Activity Hints at Institutional Re-Entry, Analysts Claim