Ethereum is struggling to hold the lower boundary of the green Gaussian channel near $2,100, as hopes for a short-term recovery continue. Recent price movements, combined with the actions of major investors (whales), have put the psychological $2,000 support level back in the spotlight.
Price movement and technical outlook
According to the latest data, Ethereum is trading around $2,110 on Bitstamp. Over the last few sessions, the price has hovered at the lower edge of the green Gaussian channel, which technical analysis highlights as a key short-term reaction zone.
While the channel was marked purple in previous weeks, it has recently turned green, signaling the potential for a fresh recovery after a period of market weakness. Still, as ETH trades only slightly above the channel’s lower limit at $2,102, this support is not yet confirmed.
Analysts note that if Ethereum fails to achieve a daily close above the channel’s support, the price may retreat toward the next lower support zone around $2,025. To the upside, initial significant resistance sits at the channel’s midpoint of $2,236, while a more robust trend would require a move above $2,370.
Analysts note that the price is currently holding above support, but stress that maintaining this level is essential for any confirmed upward movement.
Mini glossary: The Gaussian Channel is an advanced indicator in technical analysis that highlights potential support and resistance areas based on price moving averages and volatility. A color shift indicates a change in trend direction and strength.
Drop in whale activity
Recent data compiled by Glassnode and shared by Ali Charts shows a decline in the number of Ethereum addresses holding at least 10,000 ETH over the past two months. During this period, about 60 major wallets either withdrew their holdings or consolidated their addresses.
The blue whale count line has dropped from around 1,110 to 1,030. Additionally, the 30-day average for whale movements has remained in negative territory, suggesting these large players are reducing their influence on the market.
Such whale actions may signal profit taking, fund reallocation, or declining market confidence. Analysts also point out that significant inflows of Ethereum to exchanges have increased recently, raising the potential for stronger selling pressure.
| Period | Whale Addresses (10,000+ ETH) | Trend |
|---|---|---|
| Two months ago | 1,110 | High |
| Now | 1,030 | Lower |
There is no definite proof that all these wallets have sold their holdings, but the drop in the total number of whale addresses points to waning institutional interest in Ethereum. From a market perspective, the crucial threshold is $2,000; if this support is breached, the technical setup could become even more bearish.
Short-term expectations
For now, Ethereum is balancing near its support region as pressure from major investors persists. The price has slipped below $2,102 at times but continues to hover at the channel boundary. The $2,000 psychological support remains the most critical near-term level for traders.
The actions of whales and the ability of ETH to hold above support will likely dictate the market’s next move. A sustained break below the channel opens the door to steeper declines and may trigger further liquidation by cautious investors.
Conversely, stabilization above $2,100 could encourage more optimistic sentiment, especially if trading volume increases and whales resume accumulation rather than divestment.
As the market awaits confirmation of trend direction, all eyes remain focused on ETH’s ability to defend key technical thresholds and the pace at which large investors adjust their strategies.
