Despite increased selling pressure, Ethereum (ETH) has surged 4% on Monday. However, if whales fail to sustain their recent buying trend, ETH could drop below $3,000. The bearish sentiment is evident in the weighted sentiment and network realized profit/loss metrics, indicating high negative sentiment among investors. Both long-term and short-term holders are selling off their assets, suggesting the bearish trend is gaining strength. Despite this, the Ethereum exchange reserve has been declining as investors withdraw. Whales holding between 100K to 1M ETH have increased their holdings by 410K ETH in the past two days, indicating confidence in a potential uptrend after the holidays. US spot Ethereum ETFs have seen net inflows for four consecutive weeks. ETH has been hovering between support and resistance levels, stabilizing due to the holiday season. If ETH breaks the $3,250 support level, it could decline toward the $3,000 psychological level. Further breach of the $3,000 support could lead to a decline toward $2,000. To resume its uptrend, ETH needs to recover the $3,550 support level. The market is currently showing bearish momentum according to the RSI and Stoch indicators. A daily close above $4,093 would invalidate the bearish thesis.



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