Despite trading around 30% below its yearly open of $2,990, Ethereum (ETH) is showing signs of resilience and long-term confidence. Network activity has increased, with daily active addresses (DAA) rising to 1.1 million in February, the highest level since December 2022. This surge in activity, combined with a significant increase in ETH accumulation and staking, suggests that bulls might be gearing up for a rebound.
Accumulation Addresses and Network Activity
The amount of ETH held in accumulation wallets has risen by 32% since January, increasing from 20.1 million to 26.55 million. This strong long-term confidence is further supported by the record-high staked ETH supply, which now stands at 37.85 million, representing over 30% of the total ETH supply.
Staking and Liquidity Dynamics
The surge in staked ETH not only reflects growing investor confidence but also tightens the available liquidity on the order books. The total ETH supply held on exchanges has fallen to a new multi-year low of 3.46 million ETH, further constraining the liquid supply. This dynamic could potentially lead to a squeeze in the market, pushing prices higher.
Technical Analysis: Breaking the $2,200 Resistance
Data from TradingView shows ETH attempting to breach the $2,100-$2,200 resistance level, which has been a critical price area over the past couple of years. Analyst Daan Crypto Trades noted, “This has been an important price area over the past couple of years of price action for Ethereum.” The last time ETH reclaimed this level, it saw a significant rally, gaining 24% in less than a week in May 2025.
Looking Ahead: Key Support Levels and Market Sentiment
Analysts are closely watching the $1,750-$1,850 support area, which has historically upheld the price on the weekly chart since 2022. Holding this support could trigger a retest of the 21-week exponential moving average at $2,700, 22% above the current price. A decisive break above the $2,100 resistance and the 50-day EMA at $2,200 could signal a move towards $2,600.
In conclusion, while the current price of ETH may be under pressure, the increasing accumulation and staking activities, along with robust network usage, suggest that the foundation for a long-term bullish trend is being laid. As the market continues to navigate macroeconomic uncertainties, Ethereum’s resilience and community support could be the catalyst for a significant price recovery.
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