Ethereum has seen very volatile price movements, with investors reacting actively toward the change. Following up its massive run to $2,500, ETH price has seen a correction to $2,050 or levels last seen in November 2023.

Records from Glassnode indicate that long-term holders, with cost base approximately at $3,500, reduced their exposure during February by shedding their positions at local market highs and re-entering at the recent market lows.

This year”s trading action has helped to drive down their average cost base to around $3,200, but that buying has seen a sack of sacks-full of investment remain secured in nearly 1,75 million ETH.

Key Resistance and Support Levels

On March 1, whales bought some 500,000 ETH at around $2,200, though many were quick to take profit when the price hit $2,500. The subsequent support zone to monitor is at $2,800, following the hostile accumulation of around 800,000 ETH.

Therefore, pull above these levels could suggest the beginning of a significant market recovery, whereas failure to hold in them might lead to more price consolidation. Henceforth, several other technical indications, even including another TD Sequential buy signal on the weekly chart, infer the, albeit weak, potential for further upside as long the cryptocurrency holds above $2,200.

Ending a Seven-Year Pattern — Getting Ready for The Next Move?

Ethereum has closed a monthly candle outside a seven-year rising wedge for the first time ever. If the breakout is retained in months to come, it could possibly indicate a change in the structural market trend. There seem to be three broader scenarios for analysts such as: ETH reentering into the wedge, forming the third top-side formation at local highs, or simply breaking down into a new bear phase.

With whales accumulating heavily here and technical implications till at least load bullish, Ethereum holding the ground around $2,200 for seeking stability shall be the next critical issue concerning the next big break.