- Ethereum is facing intense selling pressure as major whales offload their holdings, signaling a lack of confidence in its short-term recovery.
- Despite technical indicators showing oversold conditions, ETH could drop further unless sentiment and buying volume improve.
Ethereum (ETH) is entering one of its darkest phases in 2025 as long-term holders begin to abandon ship. Recent whale activity suggests that confidence in the short- to midterm trajectory is fading fast — and the numbers are telling a troubling story.
One notable investor, who held 10,000 ETH for over 900 days, finally threw in the towel. Despite weathering multiple market cycles and ignoring Ethereum’s 2021 rally above $4,000, this whale sold their entire position for $15.71 million. While that still netted a $2.75 million profit from their $12.95 million entry in late 2022, it was a far cry from the $27.6 million paper gains they once had. This sale is a stark reminder of how timing can make or break even the most patient investors.
Leveraged Whale Crushed by Market Crash
Another whale played a far riskier game — and paid the price. Borrowing nearly $90 million in USDT, this investor scooped up over 26,000 ETH at $3,084. But as Ethereum plunged, they were forced to unwind the position in pieces, with most ETH sold around $1,853 in March and the final chunk at just $1,471. The result? A gut-wrenching $40 million loss, underscoring just how dangerous leverage can be in a falling market.
Bearish Signals Grow Stronger, But a Bottom May Be Forming
Technically, ETH remains trapped in a descending channel, trading near $1,470. The 50-day and 100-day EMAs have dropped below the 200-day EMA, reinforcing the bearish outlook. RSI levels under 35 suggest ETH is nearing oversold territory, though no reversal has yet materialized. If Ethereum fails to hold above $1,400, a drop to $1,200 could follow quickly.
Still, history shows that capitulation from major holders often marks a bottoming phase. While the psychological toll of these exits is heavy, they might also clear the path for stronger hands to step in. Ethereum’s fundamentals remain intact — but without renewed sentiment and buying volume, a true recovery may still be far off.
