Whale accumulation, optimistic market sentiment, and high Stock-to-Flow indicators are reinforcing Ethereum's price increase, but signals of overbuying may create short-term correction pressure.
The recent recovery of Ethereum has attracted observers after a mysterious whale accumulated over 312,000 ETH from major exchanges, raising expectations for a new breakout, but also posing correction risks when the market is overheated.
MAIN CONTENT
The mysterious whale purchased over 312,000 ETH, contributing to reinforcing bullish market sentiment for Ethereum.
Positive sentiment, the Stock-to-Flow index, and on-chain signals support ETH's price increase, but the market is showing signs of being overbought.
Fibonacci levels and profit-taking activities may create short-term obstacles for Ethereum if strong demand cannot be maintained.
Why does strong whale accumulation attract attention?
A whale has created 10 wallets in just 8 days and purchased 312,052 ETH worth approximately 1.34 billion USD from FalconX, Galaxy Digital, and BitGo, boosting expectations for a new price increase.
The mysterious whale continuously buying large amounts of ETH shows strong confidence in Ethereum's bullish trend in the market. This scale of accumulation often signals the confidence of institutional or individual investors holding large capital, which can lead to structural changes in supply and demand.
Every time whales enter the market, the entire market sentiment swings strongly in the direction where large cash flows are directed. This influence is even more pronounced if whales act concentrated during market recovery.
Michael Novogratz, CEO of Galaxy Digital, 2024, at a Bloomberg conference interview.
Additionally, this movement coincides with Ethereum's efforts to recover price from the July low, trading around the 4,299 USD mark (according to data from 12/8/2025). This raises a significant question: Is the whale accumulation the catalyst for ETH's next bullish wave?
How strong is Ethereum's price increase?
Ethereum's price has continuously established higher lows since June, approaching the Fibonacci resistance level of 0.618 at 4,324 USD, demonstrating a clear bullish structure.
Recent upward movements have helped Ethereum approach important technical resistance milestones. In terms of price action, ETH has created many higher lows, indicating that cash flow and investor sentiment still lean towards the buying side.
Historical data shows that when Ethereum breaks through important Fibonacci levels, the market often sees new cash flow from both individuals and institutions, helping to prolong the bullish wave.
Blockchaincenter Technical Analysis Report, 2024
However, the RSI indicator at the time of the survey is at 72.99 – a clearly overbought zone. This implies short-term correction risks if demand weakens. If it cannot surpass 4,324 USD, ETH may correct to the support zone of 4,139 USD before establishing a new trend.
Will the positive market sentiment sustain ETH's upward momentum?
Ethereum's market sentiment (Weighted Sentiment) surged to 0.928 in August 2025, marking an optimistic trend after a correction period.
History shows that such periods of high sentiment often accompany strong bullish waves, repeating the pattern seen since early 2025. However, bullish waves based on sentiment are often short-lived if not supported by actual buying from whales or large institutional capital.
Market experience shows that positive sentiment waves are only truly sustainable if followed by strong cash flows, especially from large wallets or institutional investors.
Chainalysis Market Intelligence, 2024, Whale Behavior Report
Thus, to maintain the upward momentum, ETH needs to combine motivation from sentiment and real cash flow, along with positive signals about the amount of ETH withdrawn from exchanges, stored, or staked long-term.
What does the strong increase in Ethereum's Stock-to-Flow indicator mean?
Ethereum's Stock-to-Flow (S2F) index reaches 54.5 – the highest in many months, reflecting an increasing level of scarcity in the market.
A spike in the S2F index often signals a major shift from selling to long-term holding, thanks to the increased staking activity or confidence in the long-term future of the Ethereum network. Studies from Glassnode and Santiment show that when S2F rises, the likelihood of ETH increasing in price and exhibiting accumulation behavior is higher.
Ethereum is becoming increasingly scarce as most ETH is sent to staking, leading to a decrease in circulating supply and creating a stronger price support effect for each subsequent bullish wave.
Market evaluation from Santiment, August 2025
However, if demand is unstable or cash flow weakens, an increase in S2F could make the market more unpredictable, as sudden selling pressure leads to deep short-term declines.
Is the profit-taking momentum threatening ETH's rally?
Ethereum's MVRV Z-Score indicator surpasses 1.3, indicating that most investors are sitting on unrealized profits and the risk of profit-taking is high.
The history of the cryptocurrency market often records short-term corrections after the MVRV index rises high because investors tend to take profits when expectations peak. However, if on-chain activity and whale buying are strong enough, this selling pressure can be absorbed and help the price not to correct too deeply.
Good risk management along with large cash flows ready to accumulate during corrections is a key factor helping Ethereum maintain its bullish wave even when many start to take profits.
Messari Crypto Analysis Report, 2024
Therefore, investors need to simultaneously evaluate the buying and selling activities from large wallets, on-chain volatility, and sentiment indicators to adjust their risk management strategies accordingly.
Is Ethereum's price momentum strong enough to overcome risks?
The current recovery of Ethereum is based on three pillars: whale accumulation, strong market sentiment, and scarcity signals from S2F. However, risks from an overheated market, profit-taking activities, and short-term correction pressures still exist.
If cash flow from whales, demand from institutions, and optimistic sentiment continue to be maintained, Ethereum may conquer the next Fibonacci levels, especially 4,587 USD. Conversely, if these drivers weaken, the market is likely to see quick and strong corrections before establishing a new price base.
Most institutional investors are waiting for decisive moves from whales and new cash flow to determine Ethereum's next trend. Risk management and psychological management are more important than ever at this time.
Global Cryptocurrency Market Report, The Block Research, Q3/2025
This means that traders need to closely monitor on-chain indicators, large wallet activities, and sentiment fluctuations to seize opportunities while still hedging against unexpected corrections.
How does Ethereum's bullish structure compare to previous increases?
The current price increase of Ethereum is marked by strong consensus from many factors, differing in some notable points compared to previous bull cycles.
Whale accumulation phase S2F increase strong Market sentiment Profit-taking pressure 2021–2022 Average Normal levels Increased but volatile High after each strong bullish wave Bullish wave 7/2025–present Very strong, focused on the largest new wallets Highest in history Stable, clear uptrend Some but compensated by whales and institutional capital flow
This comparison shows the concentrated whale accumulation phenomenon, high S2F superiority, and continuously optimistic market sentiment have created a fundamental difference compared to previous bullish cycles. However, reasonable profit-taking strategies remain essential for holders and traders, especially when clear overbought indicators emerge.
What factors need to be monitored to determine the upcoming Ethereum trend?
The bullish momentum of Ethereum will depend on four main indicators: whale movements, market sentiment volatility, on-chain activity, and institutional/staking capital flow.
Experts recommend that the most valuable factors in determining sustainable bullish waves include: the emergence of new large wallets, the amount of ETH withdrawn from exchanges, the trend of moving ETH to long-term staking, and the increase in trading liquidity.
The Ethereum market always experiences much stronger volatility when whale factors, staking, and investor sentiment converge in a short period.
Bitwise Asset Management Research, 2025
By closely monitoring these indicators, individual and institutional investors can better seize opportunities or hedge risks compared to traditional technical analysis models.
What are the short and medium-term scenarios for Ethereum's price?
In the short term, ETH may continue to fluctuate around technical support-resistance zones, with the trend of correction or breakout depending on cash flow momentum.
In the medium term, if positive factors such as whale accumulation, staking rates, and institutional capital flow continue to be maintained, Ethereum is likely to still have room to approach higher resistance levels like 4,587 USD and beyond. If the market weakens in liquidity or sentiment, corrections to support at 4,139 USD could definitely occur before the bullish wave continues to form.
Market warnings always require preparation for both good and bad scenarios, as Ethereum and cryptocurrency volatility can shift faster than the usual expectations of traditional markets.
Data analysis firm Kaiko Research, 2025
This further emphasizes the importance of adopting risk management strategies while leveraging the power of on-chain data analysis combined with investment sentiment management.
What is the influence of whales and institutions on Ethereum's price trend?
Whales and financial institutions always have a significant influence on Ethereum's price, especially during strong bullish cycles.
In fact, reports from Glassnode in 2024 show that over 40% of ETH transaction volume exceeding 10 million USD daily often originates from transfers between institutions and large wallets. The role of these groups in sustaining upward momentum or absorbing profit-taking pressure has significantly influenced the amplitude of ETH's bullish waves in recent years.
Large institutions not only create liquidity for the market but also indicate the direction of smart cash flow and forecast Ethereum's correction or breakout rhythm compared to the broader market.
CryptoQuant Data Analysis, 2024
Therefore, any unusual changes in large wallet actions, sudden buying sprees, or moving ETH to cold wallets from centralized exchanges are extremely important signals to determine potential trend reversal scenarios.
What is the difference of this whale wave compared to previous cycles?
The whale accumulation in early August 2025 is reflected in the rate of wallet creation and the amount of ETH accumulated in the largest new wallets in Ethereum's history.
In addition to exceeding a value of 1.34 billion USD in just 8 days, the noteworthy point is that the number of new large wallets is steadily accumulating ETH instead of quickly buying and then selling off like in the hot price cycles of 2021. This implies a long-term holding expectation and agreement on the mid-term outlook of Ethereum is rising among professional investors.
Based on this, the trend of staking ETH continues to be strong, pushing the S2F index and further affirming the scarcity factor, raising mid and long-term price expectations for the network.
What trading strategies should be applied in the current context of Ethereum?
The simultaneous appearance of overbought signals, whales accumulating, and positive market sentiment requires traders to flexibly combine multiple risk management strategies.
Some popular strategies include: position splitting, partial profit-taking at technical resistances, increasing the proportion of long-term staked ETH when S2F increases, or applying trailing stops to protect profit gains in case the market reverses.
Long-term ETH holders should also closely monitor the movements of large wallets, trading volumes on centralized exchanges compared to cash flow in and out of cold wallets, and network health indicators.
What factors will Ethereum need to establish the next sustainable bullish wave?
Sustainable bullish waves of Ethereum will need to converge: continued large capital inflows, increasing whale accumulation, more ETH staked and withdrawn from exchanges, and stable market sentiment.
In addition, major events such as network upgrades, expanding DApp development communities, or new investment waves from large funds will play an important catalytic role in consolidating long-term bullish momentum.
These factors will help Ethereum not only avoid deep corrections but also expand growth space despite short-term volatility.
Frequently Asked Questions
What are the notable features of the recent whale accumulation of ETH?
A mysterious whale created 10 new wallets and accumulated 312,052 ETH from FalconX, Galaxy Digital, BitGo in just 8 days, showing confidence in Ethereum's bullish trend and potential correction risks if the market reverses.
Why is the Stock-to-Flow indicator important for ETH's price?
An increase in Stock-to-Flow proves that ETH is scarcer due to staking and long-term accumulation, reinforcing the strength of bullish waves and helping ETH absorb selling pressure from holders better.
What does the overbought RSI signal for Ethereum?
RSI above 70, currently at 72.99, indicates short-term correction risk if new demand cannot be maintained. Traders should be cautious of risk management when RSI is high.
How does institutional demand affect ETH's bullish wave?
Institutional capital flow and whales often help ETH maintain its upward momentum even when there is profit-taking pressure, especially if market sentiment remains positive.
When should one take profits on ETH?
When indicators like MVRV Z-Score, RSI are too high, and the market shows signs of stagnation or whales reduce buying, investors should increase risk management and consider partial profit-taking.
How to recognize the start of a new correction wave for ETH?
Closely monitor whale selling volumes, capital withdrawal from staking, weakening market sentiment, or sharply declining RSI as signs of an upcoming correction wave.
How to manage risks in the context of Ethereum's bullish wave?
Combining partial profit-taking, trailing stops, diversifying the portfolio, and regularly updating technical indicators and on-chain data to minimize strong corrections.
Source: https://tintucbitcoin.com/ca-voi-mua-manh-gia-eth-thay-doi/
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