Ethereum had a relatively tranquil weekend, and the price action shows signs of stability after variability last week. ETH has recovered USD 4,100, and analysts now indicate $ 4000 as a key defense line. If Bulls manages to support this support, the market could see a powerful growth in the coming days, preparing the stage for Ethereum to evaluate higher levels again.
By adding weight to this perspective, the key Cryptoquant report emphasizes that the supply of Ethereum on the stock exchanges is still falling. This trend often signals that investors withdraw ETH to self -resistance or put it, reducing the available liquidity of sales on the stock exchanges. Historically, such declines in the exchange reserves paved the way to rallies, because demand ultimately absorbs reduced supply.
However, although the data is supportive, analysts warn that the real catalyst remains demand. Without powerful inflows of recent buyers, the discount on the supply side may not be enough to significantly escalate ETH. The upcoming days will therefore be critical, and Ethereum’s ability to maintain above $ 4,000 will be a key indicator of whether the next stage of the rally is ready to develop.
Ethereum outflows indicate a long -term stubborn configuration
According to Kryptochiz reportThe last Ethereum outflow from point exchanges is largely associated with recent purchases, in which investors buy ETH and immediately transfer it to their own care or erecting. This behavior reduces the liquidity on the sale side and sometimes can create the basis for appreciating prices.
Looking at the previous cycles, clear patterns appear:
NETWORK CRCIENDION & Uni AIRDROPS: In this phase, high gas fees and powerful as asked by rear macro winds. It will swim accelerated, which leads to a solid bull when the liquidity is sharpened.
Slow bear phase and FTX collapse: at the summit of quantitative tightening (QT) the FTX crisis caused a banking course, and older coins left the exchange. Despite fear, the improvement of macro conditions soon restored the demand, increasing ETH above.
We see the same trend today: reserves are falling, but prices remain flat because the sale of recent purchases. Historically, once the demand for strengthens, these periods lead to rallies.
Importantly, this is not a shock of supply in the strict financial sense. Instead, it reflects the reduced exchange reserves and lower pressure on the sales side. The question is whether demand will accelerate. If the rate discounts, slower QT and growing global liquidity are continued, ETH could be prepared for a powerful long -term movement.
In the meantime, price variability is expected. If ETH falls below the accumulated price of whales, it can offer the possibility of purchasing, as in previous cycles. This dynamics shows Trust Investor in Ethereum and strengthens the view that falling reserves are preparing Earth for the next rally.
Details of the price: Rally with relief or recovery?
Ethereum (ETH) tries to stabilize after a edged drop below USD 4000, and the latest chart showed a diminutive recovery to around USD 4,131. The reflection will take place after a brief test of the lowest level of USD 3,900, which suggests that the buyers are entering to defend this critical support area.
On the 8-hour chart, ETH has recovered the 200-day EMA (red line), which currently operates as a short-term turn point. However, the 50-day (blue) and 100-day (green) average walking remain above the current price, creating general resistance from 4,250 to 4400 USD. Pure break and consolidation above these levels will be necessary for the bulls to regain the shoot and aim at higher ranges in the direction of USD 4,600.
For now, the ETH structure is brittle. Recent rejection of USD 4,600 and a later failure emphasize the intensity of sales pressure. Despite this, the reflection from levels below 4000 USD signal demand, remains powerful, especially from accumulation wallets and whales that absorbed supply.
If ETH maintains above USD 4,000 and exceeds USD 4,250, the market may enter the recovery phase. And vice versa, the lack of maintenance of this reflection may expose ETH to a re -USD 3,800 or even lower support zones. The upcoming sessions will be of key importance to defining the brief -term ETH trend.
Recommended photo from Dall-E, Tradingview chart
