Key takeaways:
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Ethereum mega whales have increased their holdings by 9.31%, a stronger buildup than before the 2022 rally.
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ETH is consolidating inside a bull pennant, with a breakout potentially targeting $3,400 by August.
Ethereum wallets holding at least 10,000 Ether (ETH) are ramping up accumulation faster than before the 95% rally in mid-2022.
Ether Whales Reclaim the Most Supply Since 2020
The total amount of ETH held by “mega whales” has surged, recovering to over 41.06 million ETH as of July 7, up from 37.56 million ETH—a record low—in October 2024, according to Glassnode data.
This marks a significant 9.31% increase, a pace that is almost double the accumulation seen between May and September 2022, when ETH prices rallied from around $1,000 to over $1,950—an astounding 95% increase.
A similar accumulation trend occurred between November 2020 and January 2021, when whale holdings rose by 4%. During that period, we witnessed ETH’s price jumping from $460 to $1,220. Such historical patterns hint at the investment behavior of large holders.
Large holders began accumulating even before market awareness peaked in both previous instances. Recent inactivity in ETH price action has suggested that this current accumulation phase is still under the radar. This quiet buildup may be a precursor to a significant upside move that the market has yet to price in.
The ongoing rise in mega whales’ Ether holdings correlates with increasing inflows into Ethereum-focused investment funds, including ETFs. This supply recovery is the most robust and sustained since the long-term downtrend that started in June 2020.
Bull Pennant Targets 30% ETH Price Gains
In addition to the whale activity, Ether is currently trading within a textbook bull pennant formation on the daily chart. This chart setup typically signals a continuation move, often resulting in a breakout in the direction of the prevailing trend.
Interestingly, both a failed breakout and breakdown have occurred within this structure, indicating strong consolidation. If ETH manages to move decisively above the upper boundary of this pennant, projections suggest that it could soar toward the $3,400 level by August. Some analysts are even eyeing a potential price target of $5,000 by the year’s end.
Moreover, Ethereum’s cost basis distribution heatmap indicates that the $2,500–$2,536 range is a significant accumulation zone recently, according to Glassnode data.
Over 3.45 million ETH have their cost basis within this range, reinforcing it as a key support level. This heavy concentration of long-term holders near the $2,500 mark supports the idea that Ether’s current consolidation phase is building a solid foundation for its next price surge.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
