Ethereum (ETH) has experienced a notable rally, with its price increasing by 20% over the past week. This upward trend was supported by substantial ETH outflows from exchanges, reflecting increased confidence among investors. A significant increase in whale accumulation further signals growing bullish sentiment in the market.
Despite this positive momentum, recent minor corrections have placed ETH at a critical juncture, where it is testing support and resistance levels to determine its future trajectory.
The net transfer volume of ETH reached 128,000 on November 10, showcasing fluctuations between buying and selling pressures, indicating market uncertainty. A large number of coins leaving exchanges generally suggests a bullish tendency as it means holders are less inclined to sell.
Ethereum whales have begun accumulating again, with the number of entities holding at least 1,000 ETH rising from 5,527 on November 7 to 5,558 on November 12. The renewed whale interest could affect market trends since whale activities can exert significant price influence.
ETH’s potential rally could be bolstered by its current bullish EMA lines, indicating an overall upward price trend despite short-term fluctuations below certain EMA lines. Surpassing the resistance level at $3,500 could propel ETH toward $3,700, marking a high since June.
Conversely, if the uptrend reverses, ETH might reevaluate support at $3,000, with subsequent support near $2,800 if needed.
