In 2024, Ethereum (ETH) has seen a significant price increase of 48.19%, although it is still trailing behind Bitcoin, which has gained 123% so far this year. Despite ETH’s strong performance, there have been indications that its recent uptrend may be losing momentum. The Average Directional Index (ADX) shows a weakening trend strength, suggesting that the buying pressure in the market is not as intense as before.
The Ethereum Directional Movement Index (DMI) chart shows that the ADX is currently at 27, down from 46 just two days ago. While the positive directional indicator (D+) is higher than the negative directional indicator (D-), indicating greater buying pressure, the overall trend strength is weaker. This could signal that ETH’s price is stabilizing after a recent 9% rise over the last few days.
The number of Ethereum whales holding at least 1,000 ETH has reached its highest level since September, with 5,631 whale addresses currently recorded. This increase in whale activity suggests growing confidence among major investors, which is typically seen as a bullish signal for Ethereum’s price trajectory. Whale accumulation can support price stability or drive upward momentum, as these large holders have the power to influence market trends significantly.
One of the key resistance levels for Ethereum is at $3,523, which will play a crucial role in determining whether ETH can continue its rally towards $4,100 or face a pullback to test lower support levels. Breaking above this resistance level could see ETH testing $3,763 and potentially even reaching $3,987. On the other hand, failing to break above $3,523 could result in a pullback and a test of support at $3,256, with a further drop to $3,096 if selling pressure increases.
Overall, Ethereum’s uptrend remains moderately strong, despite indications of weakening momentum. The increasing number of whales accumulating ETH points to a positive sentiment among major investors, which could support further price gains in the short term. The resistance level at $3,523 will be critical in determining ETH’s price movements, with a breakout potentially leading to further upside potential, while a failure to break above could trigger a pullback towards lower support levels. Tracking whale activity and key resistance levels is essential for understanding Ethereum’s price trajectory in the current market conditions.
