Ethereum (ETH) is trading at a crucial juncture after reclaiming the $3,450 level, showing early signs of stabilization following weeks of volatility. While bulls are slowly regaining ground, upward momentum remains fragile as traders await confirmation of a sustained breakout. The recent bounce has sparked renewed optimism, but Ethereum still faces significant resistance around the $3,600–$3,700 range — a zone that must be reclaimed to confirm a broader trend reversal.
According to CryptoQuant, institutional sentiment remains mixed. The analytics firm reports that Bitmine, one of the major Ethereum market participants, is currently $1.8 billion underwater on its ETH holdings. Despite these unrealized losses, the firm continues to accumulate, suggesting that large players maintain long-term confidence in Ethereum’s trajectory.
Bitmine’s behavior stands in contrast to broader market sentiment, which remains cautious as traders navigate volatility and shifting macroeconomic signals. Many investors have reduced exposure following the recent US government shutdown and delays in key regulatory decisions, creating short-term hesitation across the crypto space. Yet, institutional players like Bitmine appear to be using this environment as an opportunity to build positions at discounted prices.
Historically, such accumulation during periods of uncertainty often precedes significant rebounds once confidence returns. If macro conditions stabilize and risk appetite improves, Ethereum could benefit from the underlying strength being quietly built by large holders.
While short-term volatility remains likely, the ongoing accumulation from entities like Bitmine suggests that the market’s foundation is strengthening — hinting at a potential recovery phase in the weeks ahead.
Ethereum’s weekly chart shows the asset holding above a critical support zone near $3,400, a level that coincides with the 50-week moving average (blue line). After several weeks of consistent selling pressure, ETH appears to be stabilizing, signaling that buyers may be stepping in to defend this key range.
The broader structure suggests that Ethereum remains within a long-term uptrend, with the 100-week (green) and 200-week (red) moving averages continuing to slope upward — a sign that the market’s macro direction is still intact despite recent volatility. The latest pullback, which follows a rejection near $4,400, resembles previous mid-cycle corrections where the price retraced to key moving averages before resuming its upward trend.
For now, the $3,400–$3,300 area acts as a major support zone, while $3,700–$3,900 stands as the next resistance to watch. A weekly close above that range could confirm renewed bullish momentum and open the path toward $4,200–$4,500. Conversely, a breakdown below $3,300 may trigger a deeper correction toward $2,900.
Featured image from ChatGPT, chart from TradingView.com
