Ethereum Price Nears $4,200 as Accumulation and On-Chain Metrics Show Mixed Signals

Ethereum (ETH) continues its steady recovery, buoyed by renewed optimism across the cryptocurrency market. The world’s second-largest crypto asset is trading near multi-month highs, with bulls eyeing the psychological $5,000 level. However, weak accumulation among investors could limit Ethereum’s upward momentum in the near term.

According to on-chain data, Ethereum’s Holder Accumulation Ratio currently stands at around 30%, notably below the 50% mark that typically indicates strong investor accumulation. Historically, ETH’s ratio tends to range between 40% and 45% during healthy uptrends, suggesting that while sentiment is improving, buying conviction among long-term holders remains cautious.

At the same time, Ethereum’s “Age Consumed” metric — which tracks the movement of long-dormant coins — has spiked twice this month, signaling increased activity from older wallets. Such spikes often reflect profit-taking or reduced confidence among long-term investors. Persistent selling from these holders could add short-term pressure and trigger localized price pullbacks.

Currently, ETH trades around $4,147, just below a key resistance level of $4,222. Breaking above this barrier could pave the way toward $4,500, potentially reigniting interest from both institutional and retail investors. A stronger accumulation trend could further fuel a rally toward $4,956 — Ethereum’s previous all-time high — and possibly test the $5,000 milestone.

Conversely, if bearish sentiment intensifies or long-term holders continue to offload their positions, ETH may fall below $4,000, with downside targets near $3,872. Overall, Ethereum’s outlook remains cautiously bullish, hinging on renewed investor confidence and a sustained increase in accumulation activity.