Ethereum (ETH) has experienced a sharp decline, slipping below the $4,000 mark and setting a fresh low near $3,820. This move highlights the intense selling pressure weighing on the market as bulls struggle to establish a firm support zone. The decline comes after weeks of elevated volatility, leaving traders cautious about whether ETH can quickly rebound or if a deeper correction may be underway.

Despite the bearish momentum in price action, some analysts argue that this low could mark a potential bottom for Ethereum. Their view is supported by key on-chain data from Lookonchain, which reveals that whales are buying ETH heavily even as prices fall. Large-scale accumulation during selloffs often signals growing confidence among big players, as they take advantage of discounted prices to strengthen their positions.

This divergence between weak short-term price action and strong whale accumulation has sparked speculation about Ethereum’s resilience. While sentiment in the broader market remains fragile, the heavy buying from influential addresses may provide the foundation for a rebound once selling pressure fades. In the coming sessions, whether ETH holds above its latest lows could determine if this is truly a bottom or just another step in a prolonged correction.

Whale Accumulation Supports Ethereum

According to Lookonchain, one OTC whale has made a bold move during Ethereum’s latest correction. The entity reportedly bought 60,333 ETH (worth roughly $238.7 million) at an average price of $4,230 over the past seven days. While this may signal strong conviction, the whale is now sitting on a paper loss of more than $16 million, with ETH slipping below the $4,000 level. The purchases were traced to three addresses: 0xd8d041705735cd770408AD31F883448851F2C39d, 0xC4de1a0F88b5E10bdeF769830699c4F6191b4933, and 0x2aAF355c820676C104bd00Ee6c506FA05998dDa2.