Ethereum Slips 3% Amid Sell-Off Pressure...When Will It Recover $3,000?

▲ Ethereum (ETH)

As deposits from large Ethereum (ETH) holders and institutional wallets to exchanges continue, the market is reacting more to additional selling pressure than to expectations of a $3,000 recovery.

According to crypto media outlet Coingape on May 7 (local time), Ethereum's price dropped by approximately 3% today amidst selling movements from whales and institutional investors. On-chain transaction tracking platform Lookonchain stated, “Whales and institutions are dumping ETH.”

According to Lookonchain data, a wallet address associated with digital asset management firm Metalpha deposited 27,000 ETH, worth $62.78 million (not $27 million), to Binance. Another whale wallet, “0x8Ad4,” also sent 14,062 ETH, worth $32.82 million, to the same exchange on the same day. Coingape reported that these large-scale exchange movements fueled concerns about potential selling.

Weakening demand from large holders also pressured market sentiment. Analyst Ali Martinez analyzed that Ethereum whales holding between 1,000 ETH and 10,000 ETH significantly reduced their positions after October 2025. The holdings of these whales increased from 12.95 million ETH in April 2025 to 15.95 million ETH on October 6, 2025, but then decreased to approximately 12.52 million ETH. The reduction rate based on total positions is 21.5%.

Martinez stated that for Ethereum to reach its $3,000 target, a “new wave of institutional or retail investor demand” is needed. The trend of decreasing whale holdings is weighing on the much-anticipated upward rally, and analysis also suggests that weak spot demand continues to hinder price recovery.

Analyst Ted Pillows diagnosed that Ethereum is struggling to maintain the $2,400 support level. He explained that the recent decline is due to weak spot demand and said that Ethereum could continue to face downward pressure until this situation changes.

Coingape reported that investors are closely monitoring Ethereum's recent price movements and whale activity. However, some market participants remain optimistic, citing that strong buying pressure from Bitmine has supported Ethereum's upward trend to some extent.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*