Ethereum (ETH) enters the week with mixed signals as traders prepare for tomorrow's "Liberation Day" tariff announcement, a potential macro catalyst that could impact risk assets. While the BBTrend indicator remains highly negative, it is starting to soften, hinting at a possible slowdown in bearish momentum.
On-chain data shows a slight increase in whale accumulation, suggesting cautious optimism from large holders. Meanwhile, Ethereum's EMA setup shows early signs of a trend reversal, but the price still needs to break key resistance levels to confirm a change in direction.
ETH BBTrend Easing, But Still Very Negative
Ethereum's BBTrend indicator is currently at -11.66, slightly improving from -12.54 yesterday, but remaining negative for the second consecutive day.
Bollinger Band Trend (BBTrend) measures the strength and direction of a trend based on how price interacts with the upper and lower Bollinger bands.
A positive BBTrend indicates bullish momentum, with price expanding towards the upper band, while a negative BBTrend indicates bearish momentum, with price leaning towards the lower band. Typically, a reading above 10 is considered a strong trend signal, making the current -11.66 reading a sign of continued bearish pressure.
The persistently negative BBTrend suggests that Ethereum remains in a short-term bearish phase, with sellers still dominating price action.
While yesterday’s slight increase suggests that bearish momentum is likely to slow, the indicator remains below neutral territory, meaning any reversal has yet to be confirmed, although Ethereum has surpassed Solana in DEX trading volume for the first time in 6 months.
Traders may interpret this as a warning to be cautious, especially if ETH continues to cling to the lower Bollinger Bands. For now, price action remains fragile, and any recovery will need to be supported by a decisive shift in volume and sentiment to signal a meaningful reversal.
Ethereum Whales Re-Accumulate
The number of Ethereum whales (wallets holding between 1,000 and 10,000 ETH) has increased slightly, from 5,322 to 5,330 over the past 24 hours.
While this is a modest increase, whale activity remains one of the most closely watched on-chain metrics, as these large holders often influence market direction. Whale accumulation can signal growing confidence in Ethereum’s mid- to long-term prospects, especially during periods of price uncertainty or consolidation.
Conversely, a decline in whale addresses often indicates waning confidence or profit-taking.
While the recent increase is a positive sign, it is important to note that the current number of Ethereum whales remains lower than the levels seen in previous weeks.
This means that while some large investors may be returning to the market, the overall whale population is not yet fully committed to an accumulation phase.
If the trend of increasing whale numbers continues, it could support a bullish shift in sentiment and price. For now, however, the data points to cautious optimism rather than a decisive reversal.
Will Ethereum break above $2,100 soon?
Ethereum’s EMAs are showing early signs of a potential trend reversal, with price action attempting to break above a key short-term average.
If Ethereum can break above the $1,938 resistance level, this could signal the start of a broader recovery, potentially targeting the next resistance level at $2,104, and if momentum builds – especially with supportive macro catalysts – a move to $2,320 and even $2,546.
On the other hand, if Ethereum fails to sustain the upside momentum and the downside momentum continues, the focus will shift back to the downside.
The first key support level lies at $1,823; If it falls below this level, Ethereum could continue to decline towards $1,759.
