Ethereum Soars on Fresh Whale Accumulation, Altcoin Rally
Ethereum (ETHUSD) surges by about 4% over the last 24h, outpacing the broader crypto market’s 1.85% gain. ETHUSD is trading at $3,014 while trading volume climbed by about 8% to $2.6 billion, according to data from CoinMarketCap.com.
ETH price uptick in the crypto market on Wednesday stems from a combination of strategic whale buying ahead of a utility-focused upgrade and a supportive macro backdrop for altcoins.
While short-term momentum is positive, the market remains cautious, leaving room for further upside if upgrade adoption meets expectations. This move aligns with a 1.86% weekly uptrend but remains below its 30-day average amidst fresh whale accumulation.
On-chain data shows Ethereum whales accumulated more than $375 million worth of ETH in the past week, including a single entity buying 61,000 ETH, totalling $171 million
This activity peaked just before the scheduled ERC 8004 upgrade.
Crypto analysts said the large-scale buying by sophisticated players reduces liquid supply on exchanges, creating upward price pressure.
Historically, such concentrated accumulation often precedes sustained rallies, as it reflects confidence in Ethereum’s fundamental outlook and reduces near term selling liquidity.
The ERC 8004 standard, which enables AI agents to carry portable reputation on chain, is set for mainnet launch around Thursday, January 29. Ethereum’s official account teased the rollout, and MetaMask’s AI lead confirmed development is frozen for deployment.
Upgrades that expand Ethereum’s use cases beyond finance tend to attract developer interest and long term value flows. The imminent launch has fueled speculation that Ethereum is strengthening its position as a neutral infrastructure layer for emerging AI driven services, boosting investor sentiment.
The market look forwards to confirmation of the mainnet activation via on chain contracts and subsequent developer adoption metrics.
The total crypto market cap increased 1.85% in 24h, with Ethereum’s dominance rising to 12.03%. The Fear & Greed Index remains in “Fear”, but altcoin season sentiment improved 7.69% yesterday.
Ethereum benefited from a general risk on shift across digital assets, though persistent fear suggests the move lacks euphoric speculation.
The rise in dominance indicates capital is rotating into ETH relative to other altcoins, supported by steady ETF inflows with $16.78 billion asset under management (AUM) and stable on chain volume.
