Ethereum’s Sideways Price Action continued, but demand for the leading altcoin at the institutional level has not yet cooled. During this persistent price action, industry institutions have quietly increased their exposure to ETH, purchasing more of the altcoin.
Business Demand Pushes Ethereum Reserves Up
A recent report revealed persistent underlying demand for Ethereum, even as its price continues to face downward pressure. Faced with volatility, Iinstitutional investors have continued to acquire ETH as the amount of ETH held in corporate reserves climbs sharply to new levels.
According to According to on-chain researcher and analyst Crypto Patel, the number of ETH collectively held in company reserves recently reached 7.33 million ETH, valued at $16 billion. This figure marks its highest level to date.
This milestone shows that companies in the crypto and financial industries are increasingly willing to treat Ethereum as a strategic part of long-term treasury and digital asset plans rather than just a speculative asset. When institutions buy, it often indicates growing confidence in Ethereum and the networkThe growing role of in the blockchain sector.
With around 6% of the total ETH supply now sitting on company balance sheets, Crypto Patel called this a rapidly growing institutional accumulation. Overall, the increase in corporate ETH reserves highlights ETH’s role as one of the leading assets for long-term investments in the broader and still vibrant cryptocurrency sector.
Small and medium-sized ETH whales are on sale
It is important to note that the feeling towards Ethereum is not uniformly optimistic. CW, market expert and verified author at CryptoQuant, has describe a shift in negative sentiment among small and mid-sized ETH whales.
In the expert’s post shared on the X platform, it is shown that key investor groups are gradually offloading their ETH holdings, indicating increasing caution in the current bearish market environment. These investors are likely selling their coins in order to gain more gains and avoid more losses.
Although small and medium in size whales continue to sell their ETHlarge whales do the opposite since their balance has continued to increase. CW said this suggests that large whales are snapping up the coins sold by these cohorts. In the meantime, this trend could play a critical role in shaping momentum, particularly as large holders begin to position themselves for upside potential.
Currently, the ETH price is trading at $2,119, down more than 3% over the past day. However, after looking at price action over a 4-hour period, CW note that Ethereum has now entered a buy wall zone, which acts as a key support zone for the altcoin. While ETH is in a buy wall zone, a region where robust demand could promote price stability and perhaps stimulate a recoveryA selling wall also appeared around the $2,250 price level, which also hints at a potentially bearish outlook for the token.
Featured image from iStock, chart from Tradingview.com
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