Ethereum whales bought ETH worth $950 million amid market reversal signals
The price of Ethereum (ETH) has made a confident rebound from its June lows, rising by approximately 22%. This momentum allowed the coin to establish itself above a key trend line for institutional investors—the monthly VWAP. Notably, this upward movement coincided with a resumption of inflows into spot ETH ETFs, which had previously recorded sustained capital outflows for several weeks.
Large holders increase positions
Analysis of on-chain data shows that whales were not only unafraid of the recent downturn but actively used it to accumulate. According to Santiment data, since June 10, the balances of wallets containing between 1 million ETH have grown from 124.85 million to 125.4 million coins. At the current exchange rate, this means large players invested approximately $950 million in the asset in just one week.
Alongside this, metrics recorded a sharp decline in seller activity. The net position change indicator on exchanges turned negative around June 7, signaling a mass withdrawal of coins from trading platforms. This is a classic sign of coins moving into cold storage, creating a supply shortage and typically preceding a trend reversal.
ETH ETFs: a shift in sentiment
The sentiment reversal came at a very opportune time. After a painful series of outflows lasting from May 11 to June 12, spot ETH ETFs recorded a net inflow of $22.5 million on June 15. This positive result broke a prolonged losing streak, which had been interrupted by only two trading sessions over an entire month.
The total net assets under management of the funds are now approaching the $10.04 billion mark. Historically, the recovery of ETF positions began with small amounts, which then grew into a series of successful days. If the market bottom is confirmed, we could witness a repeat of this positive scenario.
Key levels and risks
Currently, Ethereum is trading around $1,771, holding above the monthly VWAP at $1,705. To confirm the upward trend, buyers need to close a daily candle above the resistance at $1,851. This would allow the asset to return to its previous trading range.
The main danger now lies in excessively high leverage. Open interest in ETH futures has surged from $8.86 billion to $9.96 billion, peaking above $10.27 billion. Overloaded long positions could trigger a wave of forced liquidations at the slightest downward movement. Therefore, it is still premature to declare the end of capitulation.
Expert opinion: The actions of whales and the resumption of ETF inflows are strong bullish signals. However, the derivatives market appears overheated. I expect that before we see sustained growth, there will be another phase of liquidations to "cleanse" excess long positions. Only after that will Ethereum be able to confidently target the $1,851 level.