Key Takeaways
- A massive $600 million Ethereum long has reignited speculation after an insider whale made a high conviction bet near $3,167, a move that immediately caught traders’ attention.
- Despite improving sentiment and renewed institutional interest, Ethereum’s price continues to weaken, highlighting a growing disconnect between on-chain signals and market structure.
- Technical analysis suggests the recent ETH bounce may already be complete, increasing the risk of another downside move before any meaningful recovery can begin.
Ethereum is once again in the spotlight after an insider whale opened a massive $600 million long position in ETH near $3,167.
The move instantly caught traders’ attention, especially since the same wallet made a perfectly timed trade just before the October 10 crash.
Another notorious whale, Machibigbrother, has opened yet another high-leveraged Ethereum long.
While these actions suggest confidence, Ethereum’s price action tells a very different story.
ETH remains in a clear downtrend, raising a critical question for traders and investors alike: why is Ethereum’s price falling despite growing institutional interest and whale accumulation?
Insider Whale Opens ETH Long
An insider whale has opened a $600 million long ETH position with an entry price at $3,167.
The same whale traded with this much size right before the Oct. 10 crash, when he opened massive shorts.
This is insane 😱
Insider whale has opened a $600 million ETH long position.
Last time this guy traded with this size was just before the October 10th crash. pic.twitter.com/10zLI2qrON
— Gordon 🐂 (@GordonGekko) December 15, 2025
While the correct call on Oct. 10 made him famous, it is worth noting that the whale is sitting on three unprofitable longs, holding SOL and BTC alongside ETH.
Nevertheless, there is a significant margin in his positions; hence, the liquidation level for the ETH long is at $2,051.
Another notorious whale, Machibigbrother, has opened yet another leveraged Ethereum long.
Unlike the insider whale, Machibigbrother has been liquidated numerous times in the past few months and is currently down more than $20 million.
Ethereum’s Institutional Interest
Sentiment on Ethereum is cautiously bullish, despite the underperformance of the price.
Traders are pointing out the recent breakout and retest, and Galaxy predicts an upward movement to $4,000.
Let’s keep things simple.
Breakout + retest.
Time to go for $4000. pic.twitter.com/NAKlo22Ppe
— Galaxy (@galaxyBTC) December 15, 2025
Another significant movement in the price is that the ETH/BTC chart remains bullish , having formed a higher low after the breakout.
Data from Glassnode shows that demand for Ethereum Exchange-Traded Funds (ETFs) is also returning after weeks of steady outflows.
Options volume is also increasing, reflecting the growing institutional interest.
However, not all is well. Recent reports indicate that BlackRock has sold more than $220 million worth of ETH, adding to the selling pressure.
Why is Ethereum’s Price Falling?
While Ethereum’s sentiment is gradually turning bullish, the price action is not.
Ethereum’s price has trended downward since August and recently broke down below a diagonal support trend line.
Last week, ETH validated three resistance levels before crashing:
- The diagonal support trend line.
- A horizontal resistance area.
- The 0.382 Fibonacci retracement resistance level.
After creating a long upper wick, it appears that Ethereum’s price will continue to decline this week.
The closest support area is at $2,500, 13% below the current Ethereum price.
Ethereum’s Price Prediction
The daily time frame, price action, and wave count align.
The most likely count shows that Ethereum’s bounce was a completed wave four.
Following the rejection and decline, Ethereum’s price is likely to begin the fifth and final wave of the downside.
If so, the main target for the bottom is at $2,065, created by the 1.61 external Fibonacci retracement resistance.
Afterward, a significant bounce could follow.
Here’s What’s Next
The $600 million ETH long is undeniably bullish on the surface, but it does not invalidate Ethereum’s current downtrend.
While institutional interest is quietly rebuilding and long-term sentiment is improving, short-term price action remains weak.
This disconnect explains why Ethereum’s price is falling despite the release of positive headlines.
The Ethereum technical analysis indicates a bearish trend and predicts further new lows.
A potential move toward the $2,065 support could mark a final capitulation before a stronger bounce emerges.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
