A significant Ethereum whale executed a substantial long position worth $52.03 million by purchasing 27,000 ETH through Galaxy Digital OTC, marking a notable return to the market after three months of wallet inactivity. According to Lookonchain reports, this transaction followed the earlier $22.4 million long position in 12,000 ETH, demonstrating growing confidence in ETH's potential recovery. The whale has already generated $275,000 in profits with ETH holding above their entry price, though they've spent $5.8K in funding fees. Additionally, Arthur Hayes continued his accumulation strategy, purchasing 644.34 ETH worth $1.25 million, bringing his eight-day accumulation to 3,270 ETH for approximately $6.27 million.
The major whale long position was part of a broader trend of whale activity over the past week. As reported by Swiss Whale Intelligence, 188 Ethereum whales shifted toward distribution, offloading 462,631 ETH. However, this was partially offset by 167 whales moving toward accumulation, purchasing 448,638 ETH. The net result showed distribution exceeding accumulation by 13,993 ETH, revealing a modest imbalance rather than aggressive whale capitulation. Over a 30-day period, 661 Ethereum whales reportedly shifted toward selling, though accumulation figures were not available for comparison.
Ethereum has shown remarkable strength, holding above $1,900 for four consecutive daily closes - a streak last recorded more than one month ago. As of latest reports, Ethereum was trading around $1,914, down 0.79% over 24 hours, though it has successfully defended this critical resistance level. The derivatives market has witnessed significant activity with the Derivatives Taker Buy-sell Ratio climbing to 1.13, suggesting more buy orders were executed. Over the past 24 hours, $3.67 billion flowed into Futures positions, while $3.32 million flowed out, resulting in Futures Netflow rising 213% to $351.1 million. The Long/Short Ratio has held above 1 with an average of 2 across Binance, indicating more traders are bullish and anticipating gains.
Institutional demand for Ethereum has strengthened significantly, with U.S. Spot Ethereum ETFs recording $37.47 million in Net Inflows on July 21st, extending the positive streak to three consecutive sessions. BlackRock's ETHA attracted $52.79 million while Fidelity's FETH recorded $15.32 million in Net Outflows. Meanwhile, Ethereum's Spot Netflow turned negative after remaining positive for five consecutive days, with Spot Netflow standing near -$16 million at press time, indicating that more ETH left exchanges than entered. These flows show renewed institutional interest, though three positive sessions cannot establish long-term positioning.
Technical indicators now support a bullish outlook for Ethereum with the True Strength Index holding on an upward trajectory and the Momentum Adjusted Moving Average confirming trend strength. The Bulls versus Bears indicator reportedly remained positive for three weeks and reached 62, while the Moving Average Convergence Divergence continued rising, suggesting improved bullish momentum. To maintain this bullish outlook, Ethereum must hold above the MaMa's Positive Feedback Band at $1,875. If whale demand, ETF inflows, and negative Spot Netflow continue, ETH could retest the psychological resistance around $2,000. A sustained move above that level would offer stronger confirmation than wallet activity alone, though absorbing that supply may help bulls reclaim $1,900.
