Ethereum (ETH) is facing significant short-term headwinds, with its price falling to approximately $2,419, a decline of over 3.5% in the last 24 hours. The downturn was catalyzed by a sharp rejection from the $2,673 resistance level, which triggered a cascade of selling pressure that broke through the critical psychological support at $2,500. The ETH/USDT pair has traded within a range of $2,404.07 to $2,521.58, indicating sustained bearish momentum as the asset struggles to find a stable floor. This price action is mirrored in its performance against Bitcoin, with the ETH/BTC pair dropping 1.116% to 0.02303 BTC, signaling that Ethereum is currently underperforming the market leader. The broader altcoin market is also feeling the pressure, with high-beta assets like Solana (SOL) experiencing even steeper losses of over 6.7%, highlighting the risk-off sentiment currently prevailing among traders.

Ethereum Whales on Historic Buying Spree Amidst Market Dip

Despite the bearish price action, a powerful counter-narrative is unfolding on-chain. Large Ethereum holders, often referred to as whales and sharks, are engaging in an aggressive accumulation phase not witnessed in years. According to on-chain analytics firm Santiment, wallets holding between 1,000 and 100,000 ETH have collectively added a staggering 1.49 million ETH in the past 30 days alone. This represents a 3.72% increase in their holdings, bringing their total control to 26.98% of the entire circulating supply. This data suggests that while smaller retail-driven wallets may be selling or taking profits amid the price decline, the most significant market players are strategically increasing their exposure, viewing the current levels as a prime buying opportunity.

Further corroborating this trend, data from Glassnode reveals an even more intense accumulation pattern. For nearly a week, daily net inflows into whale wallets have consistently exceeded 800,000 ETH. One particular day, June 12, saw a massive single-day inflow of over 871,000 ETH. Analysts at Glassnode have noted that this scale of sustained buying from large entities has not been seen since the bull market of 2017. This historical context underscores the deep conviction these whales have in Ethereum's long-term value proposition, even as spot prices falter. This divergence between short-term price sentiment and long-term on-chain accumulation is a critical dynamic for traders to monitor.

Technical Levels and Institutional Flows in Focus

From a technical standpoint, Ethereum's immediate challenge is to reclaim the $2,500 level. The 24-hour high of $2,521.58 now acts as the first line of resistance. A failure to overcome this zone could see prices retest the recent low of $2,404. The significant selling volume observed during the breakdown from the $2,600s suggests that bears are currently in control of the short-term trend. However, the persistent whale buying could be establishing a formidable demand wall in the $2,400-$2,500 range, potentially absorbing further selling pressure. Adding another layer to the market sentiment, U.S.-listed spot Ethereum ETFs recently recorded their first day of net outflows, totaling $2.2 million, which ended a 19-day streak of positive inflows. While a minor figure, this reversal, confirmed by Farside Investors, points to a slight cooling of immediate institutional demand via these new products, contrasting with the direct on-chain conviction shown by whales.

For traders, the current market presents a complex picture of conflicting signals. The bearish technicals and waning ETF inflows suggest caution is warranted in the immediate term. However, the historic level of whale accumulation provides a strong bullish undercurrent that could ignite a sharp reversal if selling pressure abates. Key levels to watch are the support zone around $2,400 and resistance at $2,520. A decisive break above resistance could signal a shift in momentum, while a drop below support might indicate that even the immense whale buying is not yet enough to turn the tide. The ultimate direction will likely depend on whether the long-term conviction of whales can overpower the short-term fears driving the rest of the market.