• Ethereum has seen larger-than-usual aggressive sell orders, alongside an increased number of aggressive buy orders.
  • The bid-ask spread analysis revealed notable fluctuations across different exchanges.

Since December 2024, Ethereum [ETH] has been navigating through some distinct market dynamics.

A notable pattern has emerged, characterized by an increase in aggressive sell orders from large investors, alongside a noticeable surge in buy orders from retail investors.

These trends signal an evolving market condition that might shape the price action of Ethereum.

A tale of two forces

Since late 2024, Ethereum has seen larger-than-usual aggressive sell orders, as shown by the average market order size, which highlights the activity of whales.

Source: TradingView

Simultaneously, the number of aggressive buy orders have increased, indicating higher retail participation in the market.

This suggests that whales might be offloading their holdings, potentially due to profit-taking or risk mitigation, while retail investors, driven by FOMO (fear of missing out).

Such activity has the potential to exert downward pressure on ETH’s price due to the large sell orders, but the increased retail buying interest could balance the market and even drive price increases if buying momentum persists.

What’s driving Ethereum’s movement?

Upon analyzing the Fear and Greed Index and the Cumulative Volume Delta (CVD) chart, a clear negative CVD trend emerges, showing that more selling pressure is entering the market than buying.

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Author: Clinton Otieno

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