Ethereum bBelow $3,000, but Whale accumulation signals upside

Ethereum remains below the $3,000 mark amid ETF-driven selling, but on-chain data shows whale accumulation and resilient network activity, suggesting the recent rejection may be misleading as ETH consolidates ahead of its next major move.

Ethereum is trading in the $2,930–$2,950 range as of January 25, 2026, consolidating after a sharp pullback from January highs above $3,400. While the rejection at the $3,000 level has dampened short-term sentiment, underlying on-chain indicators suggest the broader Ethereum narrative remains intact.

The recent price softness has largely been attributed to macroeconomic caution and heavy selling linked to spot Ethereum exchange-traded funds (ETFs), rather than any deterioration in Ethereum’s fundamentals. With Bitcoin hovering near $89,000 and overall risk appetite mixed, ETH has entered a range-bound phase where price action is lagging behind network activity.

ETF outflows have played a significant role in capping upside momentum. Between January 20 and January 23, spot ETH ETFs reportedly saw outflows exceeding $600 million, including a single-day withdrawal of nearly $250 million from BlackRock’s ETHA fund. This selling pressure has kept Ethereum below the psychological $3,000 level. However, analysts note that the flows appear more consistent with profit-taking and portfolio rotation than a broader institutional exit from the asset.

In contrast, on-chain data paints a more constructive picture. Blockchain tracking shows large holders quietly accumulating close to $1 billion worth of ETH during the recent correction. At the same time, derivatives markets have cooled, with funding rates and open interest resetting from previously crowded long positions. This suggests excess leverage is being cleared, a development often viewed as healthy for longer-term price structure.

Ethereum’s network fundamentals also remain strong. Daily active addresses are approaching 1.3 million, while transaction volumes continue to range between 1.9 million and 2.2 million per day. Validator behavior supports this trend, with exit queues near zero and staking participation rising steadily, tightening circulating supply.

Lower transaction fees and post-upgrade efficiency improvements are sustaining activity across decentralized finance (DeFi) and application ecosystems. Historically, this “price weak, fundamentals firm” setup has preceded larger directional moves once macro conditions stabilize.

Despite rising geopolitical tensions, including renewed friction between the U.S. and Iran, Ethereum has shown relative resilience. Market observers suggest investor confidence is being supported by ongoing technical progress, including the Ethereum Foundation’s focus on long-term security initiatives such as post-quantum preparedness.

From a technical perspective, Ethereum is holding above a key support zone between $2,850 and $2,900. Relative Strength Index (RSI) levels around 35–40 signal caution but stop short of panic selling. A sustained move back above $3,060 could reopen upside targets toward $3,190–$3,400, while a breakdown below $2,800 would increase the risk of a deeper retracement toward $2,700.

Looking ahead, Ethereum’s 2026 roadmap adds to the longer-term bullish case. Upcoming upgrades, including Glamsterdam and the later Hegota phase, are expected to enhance scalability, efficiency, and sustainability, while accelerating Layer-2 adoption. With millions of new smart contracts already deployed this year, analysts increasingly see 2026 as a potential breakout period for Ethereum if macro headwinds ease.