Ethereum (ETH) staged a modest recovery as it climbed by 6% over the past seven days. The crypto asset hovers below $4,000 after multiple failed attempts to breach the level.
Despite this, recent on-chain activity has highlighted a surge in confidence among ETH longs, particularly from high-profile traders.
ETH Longs Surge
On-chain analytics platform, Lookonchain, reported that smart trader 0xc2a3 has completed three additional trades, scooping up $1.77 million. This pushed their total profits to over $14.2 million, maintaining an impressive 100% win rate.
Notably, 0xc2a3 reopened a 5x long on 16,727 ETH, worth approximately $65 million, amidst continued aggressive positioning in Ethereum. The position was then expanded, with Lookonchain revealing that 0xc2a3 now holds 33,270 ETH in long exposure, worth $131.24 million, alongside a 4x leveraged $8.9 million BTC long, bringing their total realized profit to over $15.4 million.
Similarly, trader ‘Crypto Ape’ noted that another OG insider whale with a perfect track record opened a $47 million ETH long, with an additional $84 million in long orders queued to be filled. This cluster of high-value longs from experienced traders has fueled speculation about potential bullish catalysts that these insiders might anticipate.
Ethereum’s Next Big Breakout
Following its recent bounce from its $3,800 support level, crypto analyst Ted Pillows observed that the cryptocurrency is now approaching a crucial resistance zone between $4,000 and $4,100, where strong sell walls could test the strength of the rally. Pillows added that if the bulls manage to break through this resistance, it could trigger a relief rally and potentially attract short-term momentum traders looking for upside continuation.
The current price action reflects a market cautiously testing recovery levels after prior pullbacks, with the $3,800 support repeatedly proving its significance.
Meanwhile, crypto analyst Michaël van de Poppe has made an even bolder prediction, stating that Ethereum is on the verge of breaking its downtrend and outperforming Bitcoin. According to him, this potential shift could represent the beginning of the next major altcoin rally, with ETH leading the charge.
The bullish narrative aligns with Merlijn The Trader’s findings, which reveal that Ethereum remains in the “Still Cheap” zone of the Rainbow Chart. The model, which historically identifies market cycles, places ETH below the “HODL” and “Take Profit” zones. Merlijn noted that the crypto asset remains undervalued compared to past cycle peaks.