Whales Sweep Up $300 Million in 96 Hours, Will They Lead Ethereum to Break $2,400?

▲ Ethereum (ETH) whale ©

As whale investors quietly swept up a massive $322 million worth of assets in just four days, Ethereum's fierce struggle to break through the solid resistance wall of $2,400 is escalating market tension to its peak.

According to the investment media outlet TradingNews on May 4th (local time), Ethereum (ETH) is trading around $2,350 and repeatedly attempting to break through the $2,400 ceiling. While the price is stuck in a boring sideways range, on-chain data behind the scenes points to the calm before the storm. Large investors, or whale wallets, have accumulated a staggering 140,000 units over the past 96 hours. This is interpreted not as a mechanical movement of funds but as a strategic accumulation by smart money, which considers the $2,300 to $2,350 range an attractive opportunity for low-cost buying.

This floor-building, combined with short squeezes (buying pressure resulting from the liquidation or covering of short positions) in the derivatives market, is maximizing upward pressure. The ratio of short positions liquidated in the last 24 hours was an astonishing 3.7 times higher than long positions. Technical trends are also positive. The 14-day Relative Strength Index (RSI) on the daily chart is 59, indicating no overbought burden, and the Moving Average Convergence Divergence (MACD) also maintains a clear buy signal, representing solid upward momentum.

Institutional funding, which had paused briefly, has reopened. On May 1st alone, a total of $101.2 million in net inflows into Ethereum spot ETFs reversed the sentiment. BlackRock's iShares Ethereum Trust (ETHA) absorbed $43.2 million, and Fidelity's Ethereum Fund (FETH) absorbed $49.4 million, showing a concentration of funds towards large funds. This demonstrates that institutional investors are using virtual assets not merely as speculative objects but as a refuge to hedge against macro risks, even amidst geopolitical crises in the Middle East.

However, despite the positive signals, caution remains. While other assets are making strong gains, such as the leading cryptocurrency Bitcoin (BTC) conquering the $80,000 mark and $81.59 million flowing into XRP (Ripple)-related exchange-traded funds in April, Ethereum has not been able to overcome its relative weakness. To regain market dominance, the Ethereum to Bitcoin ratio must strongly break above 0.032. Furthermore, there are lingering concerns that the current rally might be an artificial surge created without genuine spot demand, posing a risk of a deep plunge if the $2,300 support level breaks down.

Ultimately, the decisive trigger for future direction is the US April Non-Farm Payrolls (NFP) report, to be released on May 8th local time. If the job market is confirmed to have slowed, expectations of interest rate cuts could drag down the dollar's value, making it highly likely that Ethereum will instantly break the $2,400 resistance and head straight for $2,500. Conversely, if employment figures heat up, a painful pullback below $2,200 will be hard to avoid. All technical and on-chain signals are holding their breath, waiting for Friday's macroeconomic report.

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