TL;DR
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Ethereum shows signs of life after a brutal crash, with whales going on a buying spree and analysts eyeing a potential breakout toward $3,000.
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Despite growing optimism, warning signals like rising exchange inflows and a high RSI suggest the asset could witness another pullback in the short term.
Is It Finally Showtime?
Ethereum (ETH) experienced a devastating first quarter of 2025, with its price crashing by almost 50%. While some assumed that the worst was over, the beginning of April brought even more pain.
The global trade war, which escalated this month, took its toll on ETH. The asset briefly dipped to $1,400, the lowest point seen in more than two years.
Over the last week, though, the second-largest cryptocurrency witnessed some solid resurgence, rising by 13%. Currently, it trades at around $1,670, a 4.5% increase on a daily scale.
According to some well-known analysts and market observers, the asset has yet to chart substantial gains. The X user Carl Moon told his almost 1.5 million followers that ETH is trying to break out from a descending channel. He thinks the valuation could skyrocket by a whopping 80% to $3,000 “in the coming days,” assuming “there’s enough volume.”
Sheldon Тhe Sniper, another prominent analyst, also spotted that ETH attempts to move above the upper boundary of a falling wedge pattern, assuming this could be a precursor to a rally.
For their part, X user Crypto King argued that the asset is currently in a “great accumulation zone.” They reminded that whales have been on a buying spree lately, acquiring millions of dollars worth of ETH.
“Longer run, ETH at 4500$ should justify,” the analyst concluded.
Earlier today (April 14), CryptoGoos revealed that a mysterious whale spent almost $7 million to purchase 4,208 ETH. Furthermore, Lookonchain disclosed that another large investor accumulated 15,953 ETH for over $26 million.
Moves like this are typically seen as bullish, as they reflect strong confidence in the asset from big players. This could encourage other investors to follow suit and inject fresh capital into the ecosystem.
Still Not Out of The Woods
Contrary to the optimism from the aforementioned analysts, some technical indicators suggest that another correction could be on the way.
ETH’s exchange netflow, for instance, has been positive in the past week, signaling a shift from self-custody toward centralized platforms. This could be interpreted as a bearish factor since it increases the immediate selling pressure.
ETH’s Relative Strength Index (RSI) is also worth observing. The metric varies from 0 to 100 and helps traders spot potential trend reversals. Readings above 70 suggest the asset has entered overbought territory and could be headed for a pullback. Currently, the RSI stands just south of the bearish zone.
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