Ethereum has been in the spotlight recently after reaching its highest level since November 2021, showing noticeable resilience following a massive price surge over the next few weeks. The rally has sparked heated debate across the market, with analysts splitting into Ethereum’s next move. Some argue that a deeper correction is inevitable after such an offensive run, while others believe ETH is ready for a massive breakout that exceeds the highest ever.
On-chain data continues to add fuel to the discussion. According to LookonChain, Ethereum Foundation-related wallet 0xf39D has sold 7,294 ETH, worth around $33.25 million over the past three days. The average selling price was $4,558. This is a level that emphasizes confidence that ETH will benefit from falling below the main resistance. In particular, this same wallet has a history of accumulating 33,678 ETH for just $1,193 in June 2022, earning plenty of market timing.
Despite this sales activity, the Bulls remain optimistic, pointing to strong institutional demand and recording inflows into the Ethereum ETF as a driver of ongoing profits. As ETH holds companies that are close to critical resistance, they can either define whether the market is facing a healthy revision in the coming weeks or prepare for a surge into unknown territory.
Smart Money moves around Ethereum
Ethereum’s latest price action comes with significant on-chain activities, with one wallet in particular attracting analysts’ attention. According to Lookonchain, address 0xf39D, associated with the Ethereum Foundation, has built a reputation as a highly strategic trader. In June 2022, when the market grew deeper into a bearish stage, the wallet accumulated 33,678 ETH, worth around $40 million, with an average entrance price of just $1,193. That move alone highlighted the exact timing caused by long-term convictions and often facility-grade market participants.
Fast forward to today, the same wallet recently sold over 7,000 ETH near the $4,500 mark, earning massive profits. This type of activity highlights the role of “smart money” in shaping the Ethereum market cycle, often ahead of the broader trends. The timing of these sales sparked debate, especially as Analysts remain split with a broader outlook, especially when ETH falls below the 2021 high.
For some, these transactions have shown caution, suggesting that Ethereum may be nearing the end of the current cycle as profits strengthen. Others argue against: Despite short-term volatility, ETH is in the early stages of bull phase, fueled by institutional influx, ETF adoption, and reduced supply of exchanges.
In this environment of volatility and uncertainty, wallets like 0xF39D serve as important reference points, giving you a glimpse into how experienced players navigate Ethereum’s complex price structure. Whether this will mark the local top or pause before making more profits is whether it is one of the most pressing questions on the market.
ETH Price Action Analysis: Testing Support
Ethereum’s Daily Chart highlights its powerful gathering, followed by a recent retrace from a multi-year high of nearly $4,800. After steep climbs until July and early August, ETH is currently consolidating the $4,420 level. Despite this pullback, the wider construction remains bullish.
The 50-day moving average (blue line) continues to rise, offering dynamic support of nearly $3,480. Meanwhile, the 100-day (green) and 200-day (red) moving averages are much lower at $3,012 and $2,564 respectively, indicating how much this movement has been extended. ETH is well above these long-term averages, confirming that the Bulls are still keeping their momentum down.
Retrace is similar to a healthy fix, allowing the market to digest and reset gains before the next move gets high. If the ETH is above the $4,200-4,300 zone, this level could serve as a strong foundation for another push towards a $4,800-5,000 resistance.
On the downside, the break below $4,200 can pave the way for a support area between $3,800 and $3,900, working with the rising moving average. Overall, ETH tends to be bullish, with corrections appearing more like a pause than an inversion.
Dall-E special images, TradingView chart
