On-chain data spells trouble for Ethereum as the total holdings of whales have been continuously declining since the start of the year, reported popular analyst Ali Martinez. At the same time, the underlying asset’s price has tumbled by double digits over the past week or so and is currently struggling below a few key levels that could lead to even more retracements. Whales and ETF Investors Reduce Holdings Citing data from Santiment, Martinez posted on X a chart indicating that whales’ ETH holdings actually increased slightly at the start of the new year, going toward 31 million tokens. However, it has been mostly downhill since then, with the number plummeting to just over 29 million as of January 23. This means that they have “redistributed 1.63 million Ethereum (ETH)” since 2026 started, Martinez said . The situation with the spot Ethereum ETFs is similarly disturbing. The funds attracted over $400 million by January 6, lost a similar amount by January 9, and then went on an impressive five-day streak in the middle of the month, gaining nearly $500 million. However, the previous shorter trading week saw over $600 million being pulled out, with the total cumulative net inflows dropping to $12.30 billion – the lowest levels since mid-August. Ethereum ETF Net Flows. Source: SoSoValue ETH Price Breakdown? Ethereum’s token ended 2025 with a highly negative taste despite charting a new all-time high mid-year. It started 2026 with an impressive run that drove it above $3,300 within a week and to over $3,400 within two weeks. However, it followed the broader market’s performance and slumped beneath the crucial $3,000 support, where it currently struggles. Further data from Martinez suggests the asset needs to reclaim the $3,085 level to stage a more pronounced bullish breakout. For now, though, ETH remains miles below it. $3,085. That’s the level Ethereum $ETH needs to hold to have a chance of a bullish breakout. https://t.co/W9cA0qcRgM pic.twitter.com/tmS88G0lhQ — Ali Charts (@alicharts) January 19, 2026 Merlijn The Trader highlighted the significance of the 200-day moving average (currently located at around $3,300). Every time it has rejected ETH’s breakout attempts, it has led to a double-digit price correction. The analyst warned that ETH is in the middle of another such retracement that could drive it further south by around 20%. ETHEREUM IS STILL STRUGGLING BELOW THE 200D MA. Every rejection at the MA200 has triggered a sharp selloff: Dump 1: -27% Dump 2: -21% Dump 3: -14% (so far) Now $ETH is rejecting the MA200 again… If history rhymes, another ~20% reset isn’t off the table. Watch this level… pic.twitter.com/fQzbYGFHkC — Merlijn The Trader (@MerlijnTrader) January 23, 2026 The post Ethereum Whales’ Holdings Decline Steadily as ETH Price Falls Below Crucial Support appeared first on CryptoPotato .
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