$1.2B in Ethereum Flees Centralized Exchanges—Whales Are Loading Up
Crypto’s big players are voting with their wallets—$1.2 billion worth of ETH just vanished from CEXs in a clear accumulation play. Here’s why it matters.
The Great Migration: Ethereum’s smart money is ditching exchanges at a pace not seen since the 2023 bull run. Cold wallets are swallowing supply like Wall Street swallows bailouts.
What They Know: When ETH leaves exchanges, it typically signals long-term holding. With ETF rumors swirling and the Merge 2.0 upgrades looming, institutions might be front-running retail... again.
The Cynic’s Take: Funny how ’decentralization’ always seems to involve a few whales moving markets while the rest of us watch from the sidelines. Welcome to crypto’s version of trickle-down economics.
Ethereum Builds Momentum As Exchange Outflows Signal Accumulation
Ethereum is trading above critical levels as speculation of a sustained rally continues to grow. After weeks of sluggish movement, ETH has roared back to life, gaining over 50% in value since last week. This sharp MOVE to the upside has reignited hopes for an altseason, with many analysts viewing Ethereum’s breakout as the potential trigger for broader altcoin market strength.
Ethereum is now holding firmly above the $2,600 mark, a level that had acted as strong resistance for months. This breakout, coupled with increasing momentum against Bitcoin, suggests bulls are regaining control. Traders are closely watching the next major resistance zone between $2,900 and $3,100, which could serve as a key test for Ethereum’s uptrend.
Adding to the bullish case, data from Sentora reveals that $1.2 billion worth of ETH has been withdrawn from centralized exchanges over the past 7 days. This trend has intensified since early May, pointing to increased investor accumulation and reduced sell-side pressure. Large exchange outflows are often seen as a sign that holders intend to store ETH off-exchange, decreasing immediate supply and supporting upward price movement.
With market sentiment turning bullish and Ethereum leading the charge, all eyes are now on whether ETH can maintain its momentum and drive the altcoin market into a new growth phase. If accumulation trends persist and bulls hold key levels, Ethereum’s path toward $3,100 could open the door to a broader market rally.
Price Action Details: ETH Testing Key Levels
Ethereum’s weekly chart shows a powerful breakout after weeks of bearish pressure, with ETH now trading around $2,599.14. The recent surge pushed the price above both the 200-week EMA ($2,259.65) and the 200-week SMA ($2,451.55), two critical long-term trend indicators. Reclaiming these levels signals renewed bullish momentum and a strong shift in sentiment.
The breakout candle itself is one of the largest weekly green candles in over a year, reflecting a sharp influx of buyer interest and potentially marking a key reversal point after months of downside. Notably, this move brings ETH to levels not seen since February, with the local high for the week reaching $2,739.05.
Volume has increased significantly during this move, confirming the strength behind the rally. However, Ethereum now faces overhead resistance NEAR $2,800–$2,900, a zone that previously acted as support during early 2024 before the breakdown. If bulls maintain momentum and close this week above $2,600, it could open the door for a test of the $3,100 resistance zone.
On the downside, the key support to watch is around $2,450, aligned with the 200-week SMA. A failure to hold that level could invite a retest of $2,250. For now, the trend is bullish, but follow-through next week will be crucial.
Featured image from Dall-E, chart from TradingView
