Following Bitcoin’s price plunge below the crucial support of $84,000, due to the collapse of bid-side liquidity, the crypto markets have been shocked. The ripple effects spread to other altcoins like Ethereum and Solana, whose prices fell more than Bitcoin. The ETH price fell sharply this week, falling back to the mid-$2,700s as broader crypto market volatility pushed investors into risk mode. While the short-term technical data appears vulnerable, a deeper analysis of strike flows, historical price structure, and long-term accumulation zones suggests that the latest decline may have less to do with weakness and more to do with opportunity for longer-term players.
ETH is returning to its ‘discount zone’: a level at which major rallies historically begin
Ethereum has once again entered a major multi-year “discount zone” – a price region that has consistently functioned as a long-term accumulation range. The chart shows that ETH price is still moving within an ascending parallel channel dating back to early 2022.
Previous troughs in this lower band (late 2022, mid 2023 and early 2025) all produced strong rallies, often marking the start of multi-month uptrends. The current return to the discount zone reflects those earlier developments, suggesting that the negative impact may be more limited than recent market sentiment implies.
This structural trend remains intact despite the pullback and offers an important insight: ETH’s macro uptrend is uninterrupted.
Whales are deploying more ETH – even during the correction
While the weakness in spot prices could indicate that confidence is waning, on-chain data shows the opposite. Major validators – usually whales or institutions – continue to send repeating batches of 32 ETH to the Ethereum Deposit Contract.
The data above suggests that an early Ethereum whale just staked 40,000 ETH worth $120 million after 10 years of inactivity. This behavior indicates persistent accumulation and long-term commitment. When whales increase their bets during market downturns, it is often a sign that they view the move as temporary and not structural.
Historically, the influx of aggressive strikes has aligned with major cycle expansions as they reduce the supply of liquidity and tighten foreign exchange reserves. The pattern seems to repeat itself.
Ethereum’s current structure reflects the 2017 and 2020 accumulation phases
Zooming out, Ethereum’s current consolidation zone looks strikingly similar to previous cycle setups in 2017 and 2020 – both of which ended in explosive breakouts.
Each cycle followed a repeated pattern of behavior:
- Long consolidation near the midpoint of the macro trend
- A final shakeout or drop towards support
- A rapid expansion phase once liquidity returned
In the chart, the 2025 price action mimics the same structure, suggesting that ETH could be nearing the end of its consolidation rather than starting a deeper downtrend.
What comes next for the ETH price?
Ethereum’s latest correction has pushed the asset back into a historic “value zone,” but on-chain data suggests the pullback could be an opportunity rather than a setback. Whales continue to accumulate, stake deposits remain strong, and ETH’s broader market structure still resembles previous phases before the outbreak. While short-term volatility may persist, underlying fundamentals point to a network strengthening beneath the surface, paving the way for a potential recovery once market sentiment stabilizes.
If ETH can reclaim the $3,100-$3,250 band on strong volume, the next big leg towards the $3,800-$4,200 region becomes increasingly likely. And if history continues to rhyme, Ethereum could position itself for a much bigger move later in 2025.
Trust CoinPedia:
CoinPedia has been providing accurate and timely cryptocurrency and blockchain updates since 2017. All content is created by our expert panel of analysts and journalists, following strict editorial guidelines based on EEAT (Experience, Expertise, Authoritativeness, Trustworthiness). Each article is fact-checked from reputable sources to ensure accuracy, transparency and reliability. Our review policy ensures unbiased evaluations when recommending exchanges, platforms or tools. We strive to provide timely updates on everything crypto and blockchain, from startups to industry majors.
Investment Disclaimer:
All opinions and insights shared represent the author’s own views on current market conditions. Please do your own research before making any investment decisions. Neither the writer nor the publication accepts responsibility for your financial choices.
Sponsored and Ads:
Sponsored content and affiliate links may appear on our site. Ads are clearly marked and our editorial content remains completely independent from our advertising partners.