Whales Dump Ethereum, Keeping Prices Under Pressure Despite Retail Buying

• Whales are offloading Ethereum, intensifying selling pressure despite rising retail buy orders, keeping the market highly volatile.
• Ethereum’s price struggles below $2,600 after sharp declines, with persistent bearish momentum and weak recovery attempts.
• Large sell orders dominate, while retail activity grows, yet buying momentum remains insufficient to counteract the downward trend.

Ethereum has experienced aggressive selling pressure since December 2024. Large sell orders have dominated the market, while buy orders have increased in number. The trend indicates a possible scenario where whales are offloading their holdings as retail investors accumulate. This activity suggests significant market volatility, impacting Ethereum’s price movement.

Market Trends and Price Action

Before a sharp drop, Ethereum’s price was trading above $4,000. In late January 2025, the downward trend accelerated, bringing prices close to $2,600. The 4-hour chart on Binance’s perpetual futures market displays multiple peaks and troughs, signaling high volatility.

Moreover, candlestick patterns reveal sharp fluctuations followed by consolidation phases. The recent trend highlights sustained selling pressure, which keeps Ethereum in a bearish trajectory. Despite occasional price recoveries, Ethereum struggles to regain its previous highs.

Order Flow Analysis and Market Sentiment

The market order average size indicator shows consistent declines. The latest reading stands at -124.24, confirming the dominance of aggressive sell orders over buy orders. This trend signals that whales continue to liquidate their holdings.

Additionally, the order count indicator reflects heightened trading activity, with increased buy and sell orders. The most recent count of 6.548K suggests growing retail participation. However, the surge in buy orders has failed to counteract the bearish momentum. 

Despite the increased retail interest, sellers maintain control. The lack of a sustained uptrend indicates weak buying momentum. High volatility further confirms that large sell-offs are influencing the price action.

Future Market Outlook

The current market structure suggests continued selling pressure. Ethereum faces difficulty in reclaiming higher price levels, with strong resistance capping potential recoveries. If the selling trend persists, Ethereum may test lower support zones.

However, an uptick in buying momentum could initiate a price reversal. Increased demand from institutional or retail investors may help stabilize the market. Traders should monitor whale activity, as large orders could impact Ethereum’s future price direction.