Ethereum Nears $4,500 Amid Holder Exit and Institutional Inflows

Ethereum (ETH) has shown a recovery, approaching the $4,500 resistance level, despite significant selling from long-term holders (LTHs) who typically influence market direction. On-chain data indicates increasing selling pressure from LTHs, yet this is balanced by strong inflows from short- and mid-term investors, as reflected by rising Chaikin Money Flow metrics, providing price stability and reducing the risk of further declines. Meanwhile, Ethereum faces technical resistance near $4,150 to $4,400, with moving averages and a supply zone causing price rejections and creating a volatile trading environment. The market is also experiencing a buildup of leveraged positions, with over $1 billion in short exposure above $4,400 and $1.5 billion in longs below $4,200, setting the stage for a potential sharp breakout or breakdown depending on price movement at these critical levels. Institutional interest, highlighted by Fidelity's $202 million Ethereum purchase, fuels optimism and renewed momentum, although investors remain cautious of possible short-term pullbacks near resistance zones. Overall, Ethereum's near-term direction hinges on whether it can overcome technical resistance and manage the liquidation risks posed by concentrated leveraged positions.