Ethereum could be on the verge of a strong bullish breakout as on-chain data shows increasing whale accumulation and a rare chart pattern signals further upside.
Ethereum (ETH) was trading at $2,545 on Monday, hovering around this level for the past few days. This price is about 7% below its monthly high.
There are signs that large investors expect Ethereum to rebound in the coming months. On-chain data shows that the supply of ETH held by whales has been rising steadily. These addresses now hold 103.5 million ETH, up from 102 million on March 1, an increase of nearly 1.5%, a bullish leading indicator.
Ethereum whales | Source: Santiment
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Further data shows that Ethereum’s ecosystem is doing well as the total value locked jumped by 26% in the last 30 days to over $132 billion. The bridged TVL, which looks at the value of assets locked in cross-bridge contracts, rose to over $408 billion.
These numbers are much higher than those of other chains combined. Solana (SOL) has a TVL of $22.48 billion, while BSC has $9.3 billion.
Ethereum ETFs are also seeing inflows. SoSoValue data show that they have had inflows in the last six days, bringing the cumulative inflows to $2.76 billion.
Ethereum price technical analysis
ETH price chart | Source: crypto.news
The daily chart shows that Ethereum has rallied from April’s low of $1,382 to its current price of $2,547. It has formed a bullish flag pattern, consisting of a strong vertical rally followed by a period of consolidation.
ETH is currently trading between the 38.2% and 50% Fibonacci retracement levels. A golden cross, a bullish signal, appears imminent as the 50-day and 200-day Weighted Moving Averages approach a crossover.
Additionally, ETH is holding just above the key support/resistance pivot level of the Murrey Math Lines tool, reinforcing the bullish structure. If Ethereum breaks above the 50% Fibonacci retracement level at $2,730, it would confirm the bullish breakout. In that scenario, the next major target would be the psychological resistance at $3,000, an 18% gain from current levels.
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