Ethereum (ETH) is navigating a complex and volatile trading environment, characterized by a stark divergence between short-term price action and long-term on-chain metrics. Recently, ETH experienced a significant rejection near the $2,673 resistance level, triggering a sell-off that pushed its price down to the low $2,500s. The ETH/USDT pair, currently trading around $2,615.64, reflects a recent 2.68% gain, but this follows a period of intense pressure. On June 16, a sharp 5.7% drop from $2,679.99 to $2,527.37 was observed, with selling momentum accelerating during the 22:00 hour. This established firm resistance at $2,650 and highlighted the bearish sentiment among short-term traders. Despite a modest recovery, the price struggled to reclaim higher ground, consolidating in a narrow range and underscoring trader uncertainty.

Ethereum Whales Defy Market Trend with Historic Accumulation

While the price charts paint a cautious picture, on-chain data reveals a powerful counter-narrative driven by large-scale investors. According to analytics firm Glassnode, the scale of recent buying by Ethereum whales—wallets holding between 1,000 and 10,000 ETH—has not been seen since the bull market of 2017. These influential market participants have been aggressively accumulating on the dip. For nearly a week, daily net whale accumulation has surpassed 800,000 ETH, culminating in a single-day inflow of over 871,000 ETH on June 12. This aggressive buying pushed the total holdings in these whale wallets above 14.3 million ETH, signaling immense conviction in Ethereum's long-term value proposition. This behavior stands in sharp contrast to the broader market's hesitation and suggests these large players are strategically positioning themselves for future upside.

Retail Sells While Sharks and Whales Buy

Further data from Santiment corroborates this trend, highlighting a clear divergence between large holders and smaller retail wallets. Over the past 30 days, wallets holding between 1,000 and 100,000 ETH, often referred to as 'sharks' and whales, have collectively added 1.49 million ETH to their holdings. This 3.72% increase brings their total share of the circulating supply to a commanding 26.98%. Santiment notes that while these large entities were buying, smaller retail-driven wallets were largely taking profits or selling off their positions. This dynamic often precedes market bottoms, as smart money absorbs liquidity from panicked sellers. However, the institutional picture is slightly more mixed, with U.S.-listed spot Ethereum ETFs registering a minor $2.2 million net outflow on June 14, ending a 19-day streak of inflows, as reported by Farside Investors. This small outflow is not yet a trend but is a data point traders are monitoring closely.

Technical Analysis and Key Trading Levels for ETH and SOL

From a technical standpoint, ETH is at a critical juncture. The price is hovering above the crucial psychological and technical support zone around $2,500. The 24-hour range for ETH/USDT spanned from $2,547.33 to $2,643.96, indicating significant intraday volatility. A sustained break below $2,500 could open the door for further downside, while a decisive reclaim of the $2,650 resistance would signal a potential reversal. The ETH/BTC ratio is another key indicator to watch. Currently at 0.02414 BTC, it has shown a 2.37% increase, suggesting Ethereum is beginning to outperform Bitcoin in the very short term. A continued rise in this ratio could attract capital rotation into ETH and the broader altcoin market.

Meanwhile, major layer-1 competitor Solana (SOL) has also shown resilience. The SOL/USDT pair is trading at $152.88, up over 2% with a 24-hour high of $153.78. Its performance against Bitcoin, with the SOL/BTC pair at 0.0014082, has been relatively stable. However, the SOL/ETH pair, currently at 0.06800, has climbed 2.59%, indicating a tight race for dominance between the two leading smart contract platforms. For traders, the key takeaway is the battle between bearish technical momentum and incredibly strong on-chain accumulation. The actions of Ethereum whales could provide a strong support floor, but a break of the $2,500 level could invalidate this thesis in the short term, making it the most critical level to watch in the days ahead.