Ethereum Surges to 8 Month High After Massive Whale Activity

Ethereum made a sudden jump on Friday, breaking through the stubborn $2,500 resistance level to reach $2,660. This 8% move happened in less than an hour, catching many traders off guard and marking the highest price point for the coin since late January.

On chain data points to heavy buying from whales as the primary driver. Transactions valued at over $1 million spiked by 14% during the rally. This surge in activity coincided with a reduction in exchange supply, as roughly 116,000 ETH was pulled off trading platforms in the days leading up to the breakout.

The rally hit a wall near $2,700, and the price has since settled back near $2,500. Traders should keep an eye on the $2,720 to $2,820 zone, which contains a large volume of previous acquisitions. Investors at that level may look to sell, creating a new challenge for the bulls.

Looking ahead, the market faces a busy week. Upcoming Federal Reserve interest rate news and a Senate vote on the CLARITY Act could stir up volatility for Ethereum and the broader crypto market.