Ethereum News Update: Bearish Whale’s $24 Million ETH Short Confronts Bullish Divergence
- Ethereum whale increases ETH short position 25x to $24M, signaling heightened bearish sentiment amid market recalibration. - Holder Accumulation Ratio (HAR) drops to 30.45%, reflecting reduced long-term holder buying pressure and aggressive short-term whale positioning. - Technical analysis reveals hidden bullish divergence with ETH near $3,860, but key resistance at $4,240 remains critical for trend validation. - Market uncertainty persists as whale positioning clashes with staking yield-driven accumula
The '100% Win Rate Whale' has expanded its
A well-known
Recent blockchain data shows that the whale’s accumulation approach matches a broader shift among Ethereum holders. The Holder Accumulation Ratio (HAR) has dropped from 31.27% to 30.45% since late October, suggesting that older ETH holders are buying less. At the same time, short-term whales are taking aggressive positions, citing Ethereum’s growing tokenization and staking rewards as reasons for their strategies, according to
Shawn Young, MEXC’s Chief Analyst, noted that this split highlights changing confidence between retail and institutional investors. “Whales are accumulating due to Ethereum’s staking returns and tokenization, while more established holders remain wary,” he told BeInCrypto. Should the HAR stabilize in November, it may indicate that retail traders are starting to follow whale sentiment, reinforcing the market shift described in the Yahoo Finance report.
From a technical perspective, Ethereum’s two-day chart displays a hidden bullish divergence: prices are making higher lows as the RSI forms lower lows. This setup hints that sellers are losing momentum, which could support a breakout above major resistance. ETH is currently trading around $3,860, with key resistance at $4,070 and $4,240. If the price closes above $4,240, it could confirm the uptrend and drive ETH toward $4,620, which Young calls the “upper boundary of its long-term channel,” as referenced in the Yahoo Finance analysis.
Still, the whale’s bearish stance highlights ongoing market uncertainty. While the hidden divergence and whale accumulation suggest a slow recovery into mid-November, a drop below $3,510 would negate the bullish outlook. Traders are watching closely to see if the $24 million short position will spark short-term price swings, especially as Ethereum’s staking yield continues to influence the decisions of long-term holders, according to the Yahoo Finance outlook.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
How Ethereum Could Stay Secure Even If Today’s Online Locks Stop Working
Cardano Price Prediction: Can ADA Defend $0.22 as Hoskinson Builds a New Programming Language?
VIPAI Asset Sell-Off and Selective Rotation in Crypto
1. Technology stocks fell sharply as investor interest shifted toward energy and selected defensive assets. From October 10 to 16, the Nasdaq 100 declined 5.49% and the S&P 500 fell 1.95%, while the Dow gained 0.67% and WTI crude rose 10.41%. BTC, ETH, and SOL declined 1.27%, 2.65%, and 4.44%, respectively. This week's technology earnings will be an important test of whether revenue growth, margins, and cash flow can justify current valuations. Better-than-expected results could help stabilize markets in the near term. 2. Crypto continues to see pockets of strong activity, but a broad-based altcoin season has yet to materialize. CoinMarketCap's (CMC) Altcoin Season Index stood at 54 as of the October 18 UTC daily observation, below the altcoin-season threshold of 75, while BTC dominance rose to 60.08%. Our proxy leverage ratio fluctuated between 4.00 and 4.07 during the week, showing no sustained increase and suggesting limited appetite for additional leverage. Meanwhile, as major exchanges expand access to traditional financial assets, the recent sell-off in AI-related equities could attract short-term speculative capital away from crypto. Such capital rotation could make it more difficult for a new altcoin season to take hold. 3. Papertrade's loss-to-mine model has generated significant interest across the crypto community. The protocol combines high-leverage derivatives trading with zero slippage and a mechanism that rewards trading losses with PAPER tokens. Across the eight complete UTC days from October 10 to 17, cumulative reported revenue reached approximately $56.08 million, including $51.90 million distributed to token holders. With growing participation from key opinion leaders (KOLs), Papertrade has reportedly ranked among the top three platforms by profitability in the broader market recently. Assets to watch: BTC, ETH, SOL, ARB, OP, SKHYNIX, SKHY, META, TSLA, LRCX, and SPCX. Key research priorities this week: Cash flow performance in technology earnings; the relative discount and holding costs of the two SK Hynix contracts; and U.S. initial jobless claims and PMI data. Weekly market data cover the period through October 16, while research information was verified through October 18. Observation periods are specified separately for each chart.
Why Bernstein Thinks the AI Stock Sell-Off Could Help Small Caps
Crypto prices
More
