Ethereum Whales And Hodlers Follow Vitalik’s Cue As $1,800 Risk Grows

What Happened

Ethereum price remains under pressure in early February as selling momentum builds across both on-chain and technical indicators. The token has slipped below key support levels following a confirmed chart breakdown, while fresh data shows large holders and long-term investors beginning to reduce exposure.

Hodler Net Position Change tracks the net movement of ETH held by wallets that have not moved coins for more than 155 days. These wallets are considered long-term investors. Positive readings indicate accumulation, while negative values show net selling.

The latest reading shows net selling of around 10,681 ETH. This shift indicates that even patient investors have begun trimming exposure following the breakdown.

Together, these signals show a clear sequence. Vitalik reduced holdings, the chart structure failed, whales began selling, and long-term holders followed, all around the same time. This coordinated shift suggests weakening conviction across multiple investor groups.

Market Context

On the daily chart, ETH completed a head-and-shoulders pattern that had been forming since mid-November. When the ETH price failed to hold above the neckline and broke lower on February 3, the bearish pattern was confirmed.

Over the past three days, Vitalik sold around 2,961 ETH worth roughly $6.6 million at an average price near $2,228. The selling began just as Ethereum was losing technical support and has continued through the breakdown.

This timing is important. When a major ecosystem figure reduces exposure during a chart breakdown, it often weakens market confidence. Instead of stabilizing sentiment, Vitalik’s sales reinforced the bearish signal coming from price action.

Data shows that Ethereum whales, excluding exchange wallets, increased their holdings significantly between February 2 and February 3 as they attempted to buy the dip. However, once the price failed to recover, that accumulation quickly reversed.

On-Chain Cost Clusters Point to $1,800 as Key Ethereum Price Zone

The UTXO Realized Price Distribution (URPD) shows where the current supply last moved on-chain. While the metric was originally designed for UTXO-based blockchains like Bitcoin, Glassnode has since generalized it for account-based networks such as Ethereum.

Why It Matters

With Vitalik Buterin selling ETH and accumulation slowing, the $1,800 zone is now emerging as a critical near-term downside risk.

Head-and-shoulders formations typically signal trend reversals. The projected downside target is calculated by measuring the height of the pattern and applying it below the neckline. In Ethereum’s case, this points toward the $1,820 zone.

Whales and Hodlers Start Selling After February 3 Signal

On February 3, whale holdings stood near 13.93 million ETH. They have since fallen to around 13.79 million ETH, a reduction of roughly 140,000 ETH, worth over $290 million. This decline suggests cautious distribution rather than confident long-term buying.

When both large holders and hodlers step back at the same time, downside risks usually increase.

On-chain supply data now helps explain where Ethereum may find its next major support.

Details

Head-and-Shoulders Breakdown Aligns With Vitalik’s ETH Selling

Ethereum’s latest decline accelerated after a clear technical breakdown on February 3.

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At around the same time, on-chain data showed that Vitalik Buterin had begun selling ETH.

As a result, the technical breakdown and high-profile selling combined to mark February 3 as a major turning point for Ethereum.

After the breakdown and Vitalik’s sales, large and long-term holders also began changing their behavior.

At the same time, long-term holders also started selling.

Since late December, this metric had remained positive, meaning long-term holders were steadily adding to their positions. However, on February 3 and 4, it turned negative for the first time in weeks.