Ethereum (ETH) recovered to trade around $2,350 after briefly falling below $2,300 at the start of the business week, though sustained liquidations by Ethereum Foundation-linked wallets and early investors continue to weigh on market sentiment.
Technical Targets and Resistance at $2,400
As highlighted in previous Ethereum price analysis, traders are closely watching overhead levels. X analyst Ella noted that ETH broke out of its $2,300–$2,320 range, creating higher lows on the four-hour chart and signaling a potential run to $2,440 if $2,400 is reclaimed. Trader Michael van de Poppe described the bounce from $2,300 as "a strong move," stating, "Much rather than thinking that we're going to see another drop, the markets are at the most optimal sweet spot to hold and turn back upwards," though he cautioned a bullish breakout is not yet confirmed.
Analyst Ted echoed that reclaiming $2,400 remains the primary sign of strength. Taking a sharper bullish stance, MikybullCrypto told their over 92,000 followers on X, "See you at $3,600 in the short term."
Heavy Selling by Foundation Wallets and Whales
Despite positive technical signals, massive supply distribution poses a persistent roadblock. On-chain analytics platform Lookonchain reported that an investor linked to the Ethereum Foundation dumped 7,594 ETH (worth $17.8 million) after one year of inactivity. That wallet originally bought 200,000 ETH for $61,000 at $0.31 per coin during the 2015 ICO and received 42,654 ETH from the Ethereum Foundation when ETH traded at $13.82. Separately, another wallet affiliated with the Ethereum Foundation recently sold 2,785 ETH for around $6.42 million.
Additional selling pressure has come from early holders and high-profile figures:
- A 2015 ICO participant who originally bought 100,000 ETH for $31,000 sold 1,500 ETH ($3.5 million) after nine years of inactivity, retaining 48,500 ETH (worth $112 million).
- BitMEX co-founder Arthur Hayes recently dumped $22.28 million in altcoins, including 6,400 ETH (roughly $15.2 million).
Key Takeaways
- Price Recovery: ETH rebounded to $2,350 after dipping below $2,300, with $2,400 marked as key resistance.
- Foundation Liquidations: Ethereum Foundation-linked entities unloaded 7,594 ETH ($17.8M) and 2,785 ETH ($6.42M).
- Whale Outflows: An ICO-era whale sold 1,500 ETH ($3.5M), while Arthur Hayes sold 6,400 ETH ($15.2M).
Why It Matters
While short-term charts display higher lows, the constant stream of multi-million-dollar sell orders from early Ethereum Foundation insiders and ICO-era whales creates immediate structural overhead. Until speculative demand can fully absorb these persistent treasury and whale liquidations, rallies toward $2,400 remain vulnerable to sudden supply surges. Traders should monitor whether foundational support near $2,300 can sustain future waves of long-term holder distribution.
