Ethereum (ETH) Shows Signs of a Potential Price Surge, Fueled by Significant Whale Activity

Despite recent underperformance, whales accumulate ETH during the recent dip, a sign of strong bullish sentiment among major market players.

After a period of underperformance, Ethereum (ETH) showed signs of a potential price surge as a result of significant whale activity during the recent market dip.

According to an X (formerly Twitter) post by analyst Ali Martinez, whales purchased an impressive 100,000 ETH during the market dip, which occurred when investors witnessed ETH drop to the support at $2,900.

As the support level held strong, market analysts made bullish predictions for the cryptocurrency. Another X crypto analyst, Ted, stated that in the short term, ETH could climb as high as $4,000 before any significant correction. The analyst believes that a new all-time high for the cryptocurrency is likely by March, with predictions of ETH at $4,500 in the month of February.

In other news, data from SoSoValue indicates that US spot ETH ETFs recorded a substantial $67.77 million in inflows on Thursday.

BlackRock's iShares ETH ETF (ETHA) saw inflows of $79.86 million. Despite these positive inflows, ETH dropped by 2.93% in the past 24 hours. It trades at $3,240.88 at the time of publication, down 33.78% from its all-time high of $4,891.

ETH Price Analysis: Bullish Signs

The ETH price analysis from the daily chart below includes two major indicators. The RSI indicator for the ETH price action shows a value of 57.23. This indicates that the bulls are largely in control of the cryptocurrency's price action. However, the gradient of the line suggests consolidation between the $2,900 and $3,300 price levels.

The MACD indicator remains bearish. However, the situation is likely to change as the MACD line (blue) and the signal line (red) have come very close to each other. The chances of a bullish divergence are quite high, a move that could put Ethereum on a bullish path to $4,000 in the coming days.

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