Ethereum Whales Spark 8-Month High Rally Amid Encouraging On-Chain Signals

The price of Ethereum surged to an eight-month high on Friday, reaching $2,660 before being halted. The sudden increase was unexpected and caught many in the community off guard.

According to data from analyst Ali Martinez, Ethereum whales played a significant role in breaking the key $2,500 resistance level. Transactions worth over $1 million increased by 14% during the rally, indicating a substantial uptick in activity from these large market participants.

The surge followed several encouraging on-chain signals identified earlier this week by Martinez. He had previously noted that more than 116,000 ETH ($2,531.42) worth around $300 million at the time was withdrawn from exchanges within a 48-hour period, reducing the amount of the asset immediately available for trading.

The next challenge for Ethereum may be even harder to overcome, as on-chain data shows that more than 10 million ETH were previously acquired between $2,720 and $2,820. This creates a substantial resistance zone, where investors who bought within this range could dispose of their assets if Ethereum returns toward their cost basis.