After offloading over 1.3 million Ethereum (ETH) tokens in just 11 days, prominent Ethereum wallets—known as sharks and whales—are back in action, resuming their reaccumulation of ETH at a rapid pace.

At the same time, Tom Lee, who has been behind Bitmine’s significant ETH purchases over recent months, remains very bullish on the asset. He indicated that with excess leverage cleaned out, it’s ready for a launch.

Whales Are Back

According to Santiment, these wallets, which hold between 100 and 10,000 ETH, sold off 1.36 million coins between October 5 and 16, coinciding with notable price fluctuations—ETH jumped past $4,750 and then dipped under $3,500 during the market crash on October 10.

Recently, the behavior of these large holders has shifted positively—they have recently acquired nearly one-sixth of the previously sold amount, marking a reassuring trend.

Tom Lee addressed the October 10 drop, primarily triggered by excessive leverage in futures trading. Over $19 billion was wiped out, impacting more than 1.6 million traders within 24 hours. Lee leads the largest ETH treasury company, managing close to $13 billion in ETH. He recently noted a historic decline in open interest for BTC and ETH, hinting at the potential for a “crypto rally as the year ends.”

ETH’s Price Outlook

The return of large investors, including sharks, whales, and corporations, who make substantial acquisitions of a specific asset is typically seen as a bullish indicator because it diminishes immediate selling pressure. The crypto community is buzzing with optimistic price forecasts for ETH, with popular targets set at $5,000 and even $10,000.

While reaching the $5,000 mark appears feasible in the short-term—considering ETH was close just months ago—the $10,000 prediction seems more distant. Ali Martinez echoed these sentiments, suggesting that although ETH will attain that level eventually, it won’t happen as quickly as many anticipate.

Quote

Ethereum $ETH will hit $10,000… Just not as soon as you think! — Ali (@ali_charts) Tweet

Translation: Ethereum is projected to reach $10,000, but it’s not expected to happen immediately.