The Ethereum Upgrade is Imminent, Will Whales Help ETH Break Through?

Ethereum (ETH) has recently shown strong upward momentum, driven by favorable technical and fundamental factors that have warmed market sentiment. Co-founder Vitalik Buterin's proposed execution layer upgrade plan, significant capital inflows, and technical analysis support have collectively provided upward momentum for ETH prices.

**Vitalik Proposes Upgrading the Execution Layer Architecture**

Buterin suggested optimizing the Ethereum Virtual Machine (EVM) using the RISC-V instruction set to enhance efficiency and scalability. As an open-source architecture, RISC-V can simplify future upgrade processes, reduce development complexity, and help Ethereum maintain technological leadership in the fiercely competitive Layer 1 arena.

**Significant Capital Continues to Flow In**

On-chain data shows that “whale” addresses have been frequently increasing their ETH holdings recently. For example, one address withdrew 3,844 ETH (approximately $6.5 million) from an exchange, while another address purchased 6,528 ETH in a single transaction (approximately $10.69 million). Similar large purchases occurred before the bull market of 2020-2021, possibly indicating increased institutional confidence.

**Technical Analysis Releases Bullish Signals**

Analysts point out that ETH has broken through a long-term downtrend line and completed a retest confirmation, entering a typical upward phase. After a similar pattern in 2020, ETH's price soared from $300 to $4,800. The derivatives market also reflects optimistic sentiment, with open interest rising to $19.19 billion and long positions accounting for 55.83%.

The current market structure is similar to historical cycles; if the trend continues, ETH may welcome a new wave of increase. However, investors still need to pay attention to the progress of the upgrade and changes in the macro environment.