Ethereum Shows Bullish Signals Amid Rising Exchange Reserves Concerns

Ethereum (ETH) has experienced a 20% decline over the past two weeks, dropping from approximately $2,805 to just above $2,200, resulting in an $80 billion loss in market cap. Despite this downturn, several bullish indicators suggest a potential price reversal.

Key Points

Analysts indicate ETH may be following the Wyckoff Reaccumulation Pattern, suggesting it could enter an accumulation phase.
The "spring phase" has triggered, indicating a possible bear trap, which may lead to a price rally towards $4,000.
A bullish divergence has been noted in Ethereum’s 4-hour chart, with an immediate target of $2,700.
Whale activity is increasing; one whale bought 17,855 ETH for $36 million at an average price of $2,054.

Bearish Concerns

Over 610,000 ETH have been transferred to exchanges recently, potentially increasing selling pressure.
ETH's Relative Strength Index (RSI) is at a multi-year low, suggesting further downside may be possible.
Significant bearish sentiment exists due to weak price performance compared to other cryptocurrencies.
Current trading price is $2,200, reflecting a 6% increase in the past 24 hours.