Crypto whales bought nearly $2.5 billion worth of Ethereum during the downturn

Bitcoin fell to a low of $65,000 in the first half of June as a result of various negatives that led to a downtrend in the crypto market.

The widespread correction hit significant cryptocurrencies such as Ethereum due to concerns about macroeconomic factors, a sell-off by Bitcoin miners, ETF outflows and whale activity. The price of Ethereum fell to $3,362 for the first time in three weeks before stabilizing over the weekend on reduced selling.

During this decline, ETH struggled to break above its $3,950 resistance level, thus forming a new lower high on the daily chart that pointed to a shift in investor sentiment from buying during bullish rallies.

However, on June 14, ETH hit a high of $3,887, but fell 13.5% to reach $3,364, aligning with the 100-day EMA, thus stabilizing its decline and recovering back to $3,509. At the same time, the market capitalization jumped to $431.2 billion.

Recent remarks by analyst Eric Balchunas suggesting the potential approval of the spot ETH ETF in early July may have contributed to the recent rise in Ethereum prices, leading to a boost in investor confidence.

In particular, whales have amassed over 700,000 ETH ($2.45 billion) in the past three weeks despite market corrections, suggesting strong bullish sentiment according to crypto expert Ali Martinez.

Аif the current market correction persists, then Ethereum may test the $3,200 level, which has historically been a good support for a downtrend reversal; alternatively, buyers need the price of ETH to rise back above the current trendline resistance so that they can regain control and push it higher towards approximately $3,900, where there is an immediate psychological boundary for sellers.