Ethereum Eyes $4,900 Breakout as Whales Withdraw 200K ETH
Ethereum faces a critical test at the $4,900 resistance level as whale-driven outflows tighten supply. Over the past 48 hours, large holders pulled 200,000 ETH off exchanges, reducing sell-side liquidity and hinting at accumulation. Historically, such whale withdrawals have preceded price rallies, suggesting a bullish setup if demand keeps pace with shrinking supply.
On-chain indicators show ETH trading near its upper realized price band. This zone often triggers profit-taking, though strong bullish cycles can push prices past this threshold. Technically, Ethereum sits on support at $4,770 with bullish MACD signals. A clear break above $4,900 could open targets above $5,800, while failure may spark short-term pullbacks. Market sentiment remains fragile, with weighted sentiment down to -0.093 and social dominance falling. Traders should monitor whale activity, realized price bands, technical resistance, and sentiment to gauge if Ethereum will break out or stall.
Neutral
While large whale withdrawals historically signal bullish accumulation, Ethereum’s test at the $4,900 resistance comes with mixed indicators. Supply on exchanges has tightened after 200K ETH outflows, reducing selling pressure and potentially supporting prices. On-chain metrics show ETH nearing its upper realized price band, which may trigger profit-taking. Technically, strong support at $4,770 and a positive MACD suggest upside potential, but failure to breach $4,900 could lead to pullbacks. Sentiment is cautiously negative, with weighted sentiment at -0.093 and social dominance waning. The combination of bullish supply dynamics and cautious sentiment creates a balanced scenario. Traders may see neutral impact in the short term until Ethereum either confirms a breakout above $4,900 or retreats from resistance.