Is Ethereum Preparing for a Breakout After Whale Transfer?

TLDR

Over 105K ETH moved from Kraken to 8 wallets, sparking speculation on market direction. ETH holds above $2,400 after major whale transfer, signaling potential volatility. Analysts split: ETH could hit $3,000 if support holds, or face delays in gains. Technical indicators show bullish momentum, but caution near resistance is advised. ETH volume recovering in May after April dip, hinting at cautious market re-entry.

 

A significant Ethereum transaction shifted 105,736 ETH from Kraken to eight wallets within 30 minutes of a large inbound deposit. The coordinated move raised speculation around market timing and future price direction. This activity follows ETH’s climb from April lows and comes as analysts share conflicting outlooks.

Ethereum Sees Major Whale Movement After Kraken Deposit

Onchain data recorded a whale transfer of 105,736 ETH soon after funds landed on Kraken. The ETH was moved to eight different wallets, suggesting a planned action rather than random withdrawals. Such volume changes often signal strategic asset repositioning by large holders.

Within 30 minutes of these ETH being transferred to Kraken, another 105,736 ETH were transferred out from Kraken to 8 new addresses.https://t.co/dFkVNL87Q2

— Wu Blockchain (@WuBlockchain) May 20, 2025

This move comes as ETH remains above $2,400 despite brief pullbacks. Large wallet activity typically impacts short-term price behavior. While no immediate price crash occurred, the scale and timing suggest growing anticipation of market volatility.

The event also coincides with a broader recovery in ETH price. Traders now consider whether this whale move aligns with bullish positioning or preparation to exit at local highs. Either outcome could shape Ethereum’s short-term trajectory.

Analysts Offer Views on Ethereum’s Next Move

Michaël van de Poppe believes ETH must hold its current level to rally toward $3,000 soon. If it breaks below support, a delay in upside movement could follow.

For $ETH, it's approaching the area to hold.

If that holds and we'll find our way up, I think we'll see $3,000 quite soon. pic.twitter.com/QBhbyQMKfE

— Michaël van de Poppe (@CryptoMichNL) May 20, 2025

While long-term sentiment remains mostly optimistic, short-term forecasts depend on support zones holding. The next few sessions may determine whether ETH retests highs or consolidates further.

Technical Indicators Confirm Uptrend but Warn of Reversal

ETH shows a 1.86% decline to $2,480.82, but the overall structure stays bullish. Ethereum rallied below $2,000 in April and reached over $2,500 in May. The Relative Strength Index (RSI) now stands at 65.18, close to overbought conditions.

Source: Tradingview

MACD readings remain positive, with the MACD line at 191.98 above the signal line at 188.99. These levels suggest momentum still favors buyers. However, analysts urge caution if momentum fades near key resistance zones.

Volume remains steady around 20K, reflecting consistent market activity. While these indicators support continued strength, a break below current levels could quickly change sentiment. Traders now monitor closely for breakout confirmation.

Ethereum Volume Recovers as Price Attempts Stabilization

ETH volume surged early in the year, peaking at over $120 billion in March. Price also climbed above $4,000, following strong market momentum. However, volume dropped sharply in April, alongside a retreat in price.

Source: Coinglass

ETH then fell below $3,000 as interest cooled, but May brought a modest recovery. Trading activity rose again, and price rebounded toward $2,500. Volume improvements suggest traders are re-entering, but conviction remains cautious.

The combination of technical indicators, whale transfers, and analyst projections now creates a tense setup. If Ethereum holds current support, renewed momentum could push it higher. If it fails, traders may expect longer consolidation around $2,400–$2,500.

 

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