Ethereum has seen a record inflow of 449,000 ETH to accumulation addresses despite market downturns. Investor confidence appears to be growing as active addresses increase by 10% in just two days. However, stagnation in decentralized finance (DeFi) activity and technical resistance levels could bring challenges ahead, highlighting a cautious atmosphere in the crypto sphere.
In a rather surprising twist in the crypto world, Ethereum saw a whopping 449,000 ETH being transferred to accumulation addresses in just one day, marking a historic record for this type of transaction. This occurred on April 22, 2025, during a downturn in prices, particularly at an average of $1,750. This massive move signals a notable confidence from some long-term investors who appear to be betting on a potential market turnaround, despite ongoing volatility and economic worries.
Interestingly, the influx happens while the overall crypto market is struggling. These accumulating addresses hold an average acquisition price of about $1,981, meaning that many investors have currently recorded a loss, which speaks volumes about their conviction in Ethereum’s future. Adding to the picture, the number of active Ethereum addresses jumped by 10% over just two days, climbing from 306,211 to 336,366, indicating a fresh wave of user engagement, albeit cautiously.
Yet, as much as this shows renewed interest, the decentralised finance (DeFi) scene isn’t showing the same enthusiasm. Decentralised exchanges (DEXs) are witnessing declining trading volumes, and typically, weekly transactions are hanging around 1.3 million, a stagnation highlighted by DefiLlama data. This discrepancy between accumulating ETH and the lack of DeFi usage suggests an increasing tendency for investors to hold back their assets, opting for a more passive proactive approach in this rocky market.
From a technical standpoint, Ethereum is facing significant resistance levels, particularly at $1,895.50, where around 1.64 million ETH is concentrated. This could create serious selling pressure if prices edge closer, as many involved in that segment invested back in November 2024. Currently, ETH is shifting around its 50-day exponential moving average (EMA), a key indicator often used to predict possible trend reversals. Analyst Rektproof has even flagged a bearish pattern, warning on the X platform (previously Twitter) that the market might plunge below $1,400 should these predictions hold true.
Ultimately, there’s a clear duality at play right now. First, record amounts of ETH amassed point towards a revived belief in Ethereum’s core value. Conversely, the tepid performance on DeFi platforms and the looming technical pressures foster an atmosphere of uncertainty. As the market evolves, all eyes will be on how these contrasting signals unfold, as they will be pivotal for gauging what investors are thinking moving forward.
