TLDR
- Ethereum price has risen nearly 6% over the past week, trading around $1,640-1,650 after bouncing back from its lowest point since March 2023
- Large transaction volume from whales has dropped significantly from $9.81 billion to $2.75 billion, showing declining interest from major investors
- Technical indicators show buyers currently have the advantage with upward moving averages and positive RSI
- Vitalik Buterin recently emphasized that Ethereum’s future depends on app developers building with “good social philosophy”
- If buyers maintain momentum above the descending resistance line, ETH could move toward $1,700, while a drop below EMA20 could lead to $1,384
Ethereum has shown promising signs of recovery in recent days, with its price rising nearly 6% over the past week. Currently trading around $1,650, ETH has bounced back from its lowest point since March 2023. However, this upward movement comes against a backdrop of declining whale interest and philosophical reflections from its co-founder.
The second-largest cryptocurrency by market cap is now testing a key descending resistance line. Technical indicators suggest buyers have the advantage, with moving averages pointing upward and the Relative Strength Index (RSI) in positive territory.
Data from Coinglass shows substantial market activity, with around $82.8 million worth of Ethereum trading positions liquidated recently. Buyers lost approximately $43.5 million, while sellers faced losses of about $39.2 million.
Whale Interest Cooling
Despite the price recovery, Ethereum is experiencing a notable decline in whale activity. According to IntoTheBlock data, the volume of large transactions has plummeted from a peak of $9.81 billion to just $2.75 billion.
Recent on-chain movements support this trend. On April 14, a whale transferred 20,000 ETH (worth approximately $32.4 million) to the Kraken exchange, possibly preparing to sell.
Glassnode data further confirms this pattern, showing that the number of wallets holding at least $1 million worth of ETH has hit its lowest level since January 2023. This marks a clear retreat of wealthier investors from the Ethereum market.
Even early investors appear to be reducing their holdings. An on-chain analyst reported that an investor from Ethereum’s 2015 Initial Coin Offering (ICO) has been consistently selling. On April 13, this early backer sold 632 ETH, valued at around $1 million.
The market’s open interest has also declined by 1.16%, now standing at approximately $17.91 billion. This reduction could potentially slow Ethereum’s recovery and increase the chances of a short-term pullback.
Technical Outlook
Ethereum has successfully defended the critical $1,500 support level, as sellers struggle to push prices lower. Buyers are now focused on maintaining the price above the descending resistance line to strengthen the current bullish momentum.
If buyers can keep the price above this key resistance, ETH could make a strong move toward the important $2,000 level in the coming days or weeks.
On the other hand, sellers would need to push the price below the EMA20 trend line to regain control. If successful, Ethereum could drop toward the $1,384 support level. A break below this mark could signal a short-term shift in momentum favoring the bears.
Recent price action shows the battle between bulls and bears continues. On April 13, selling pressure dominated early in the trading session, with the RSI indicating oversold conditions starting at 2:25 UTC.
Buterin’s Vision for Ethereum’s Future
Amid these market movements, Ethereum co-founder Vitalik Buterin has shifted attention to what he considers the real battleground for Ethereum’s future: the application layer.
Speaking on Warpcast, Buterin stressed that developers must prioritize ethical values when building decentralized applications. “Apps are ~80% special purpose,” he noted. “What you build reflects what you believe Ethereum should be doing for the world.”
Buterin contrasted Ethereum with general-purpose programming tools like C++, arguing that Ethereum is more exposed to ideological choices, especially at the application level.
He highlighted examples of what he considers positive and negative applications. Privacy-focused platforms like Railgun and prediction market Polymarket demonstrate a “good” philosophy, according to Buterin.
Conversely, he criticized meme coin factories like Pump.fun and collapsed projects such as FTX as examples of building without purpose or principle.
For Buterin, Ethereum’s future isn’t just technical but ethical. His perspective emphasizes that developers aren’t merely writing code but shaping the narrative of what Ethereum represents in the blockchain ecosystem.
As Ethereum continues to navigate market volatility, the coming days will be crucial. If bullish sentiment persists, ETH could target the $1,700 level. However, a drop below $1,560 might lead to a slide toward $1,500.
Stay Ahead of the Market with Benzinga Pro!
Want to trade like a pro? Benzinga Pro gives you the edge you need in today's fast-paced markets. Get real-time news, exclusive insights, and powerful tools trusted by professional traders:
- Breaking market-moving stories before they hit mainstream media
- Live audio squawk for hands-free market updates
- Advanced stock scanner to spot promising trades
- Expert trade ideas and on-demand support
