Ethereum's Yearly Sell Wave: Can Bulls Absorb the Supply to Hit a $5,000 Target?

Ethereum (ETH) is at a crucial turning point. A massive sell wave, which saw an influx of 2.59 million ETH move to exchanges, is testing the resilience of its recent rally. However, unlike previous downturns, this heavy selling is being met with a powerful counter-force: a surge in accumulation from large holders. Can bulls absorb this supply to maintain momentum and push ETH toward a $5,000 target?

The Sell Wave: The Second-Largest Inflow of the Year 📉

On August 14, 2025, Ethereum experienced its second-largest single-day exchange inflow of the year. This movement, which saw 2.59 million ETH transferred to exchanges, is a typical sign of potential selling pressure. The influx was partly driven by sales from Ethereum Foundation wallets, which added to the supply on the market. In a normal downtrend, this level of selling would signal a potential price crash. However, this time, the heavy inflow occurred within a strong uptrend, with aggressive buying power absorbing the supply. This suggests that the market is not dominated by bears, but rather by bulls who are ready to buy the dip.

The Bullish Counter-Attack: Whales Accumulate Heavily 🐳

Despite the heavy selling, bulls are still in control. The article highlights that large holders—wallets with at least 0.1% of the total ETH supply—have aggressively accumulated in the past seven days, with their holdings jumping nearly 100%. This massive accumulation signals that these "whales" are confident in ETH's long-term value and are using the heavy selling pressure as a strategic buying opportunity.

The Road to $5,000: Key Levels to Watch 🎯

For Ethereum to achieve its ambitious $5,000 target, it must first break through a key resistance level. The article notes that a daily close above $4,785 is needed to pave the way for a run towards the $5,000 target, or more specifically, $5,175. The bullish sentiment is further supported by the bull-bear power indicator, which favors buyers, suggesting that bears have not taken over despite the heavy exchange inflows.

Conclusion

Ethereum is at a pivotal moment, with a heavy sell wave being met by a powerful counter-force of whale accumulation. The resilience of the bulls in absorbing this supply suggests that the market is not on the verge of a crash but is rather consolidating before a new push to the upside. The coming days will be a crucial test of whether ETH can break through key resistance levels and rally to its $5,000 target.

Disclaimer

This article is for informational purposes only and does not constitute financial advice. Cryptocurrency investments carry a high level of risk and volatility. Always conduct your own research (DYOR) and consult a professional financial advisor before making any investment decisions.