Ethereum (CRYPTO:ETH) continued to trade firmly above a key technical support zone, as analysts point to signs of renewed confidence from large investors and institutions.
Market observers said ETH has been consolidating below the $3,200 level, a price area widely viewed as critical for determining its next major directional move.
Crypto research account AltCoin Việt Nam said Ethereum is entering an unusually tense phase on the chart, indicating the market is preparing for a decisive breakout or breakdown.
The analyst highlighted the emergence of a bullish divergence, noting that it was the first such signal to appear in more than a month.
According to historical data cited by AltCoin Việt Nam, Ethereum typically experiences price swings of between 9% and 16% whenever it trades below the $3,200 threshold.
With ETH hovering close to $3,100, analysts said this historical pattern suggests a sharp increase in volatility could be imminent.
Bullish sentiment was reinforced by the actions of a major market participant, described as a super large whale, who reportedly opened a leveraged long position worth approximately $392 million.
The position equates to around 120,094 ETH and is being viewed by traders as a high-conviction bet on higher prices.
Analysts said such large-scale positioning often reflects institutional or professional capital rather than short-term retail speculation.
Institutional demand has also remained visible through the spot Ethereum ETF market, which recorded more than $250 million in net inflows over the past week.
The steady ETF inflows were cited as evidence that longer-term investors continue to build exposure despite recent price consolidation.
Separately, BitMine Technologies disclosed the purchase of an additional 33,504 ETH, valued at roughly $112 million, adding to signs of sustained accumulation.
AltCoin Việt Nam said the combination of technical divergence, historical volatility patterns and aggressive buying places Ethereum at a pivotal market moment.
“Can ETH break out strongly and immediately confirm the uptrend, or will it need to retest lower support before the expected rally,” AltCoin Việt Nam said.
Another analyst, known as The Boss, said Ethereum has shown a constructive reaction at the $3,091 support level.
The analyst noted that ETH has continued to hold above this zone, signalling that short-term buying pressure remains active.
“As long as price remains above this level, the focus stays on the upside,” The Boss said.
He added that strong defensive reactions from established support areas are critical for validating the current market structure.
Analysts broadly agree that Ethereum’s ability to maintain support in the coming sessions will likely determine whether the market sees a renewed uptrend or a deeper consolidation phase.
At the time of reporting, Ethereum price was $3,119.61.