Overview:

• There has been a huge acquisition of nearly 1 million Ether by Whales in three weeks, with ETFs also seeing their second-strongest inflows since October.

• The corporate treasury demand has fallen by over 80%. Digital asset treasuries cut back their acquisition of ETH to 370,000 in November.

• Ethereum was able to regain the support area of $3,080 and also break above key lines but it has yet to break above $3,500.

Ethereum seems to be on the comeback trail in the last month of the year. Despite the recovery, declining corporate treasury purchases are now casting doubts on how quickly Ethereum will be able to break above $4,000. Nonetheless, Ethereum seems to be doing well despite a lackluster fundamental performance. Here is how the world’s second-largest cryptocurrency performed at press time based on a TradingView report.

Whale Buying and ETF Inflows Push ETH Higher

In December 2025, Ethereum showed relative strength compared to Bitcoin and most major altcoins. Market sentiment turned around in anticipation of the US Federal Reserve's FOMC meeting, and whales, major players in the market, aggressively invested. Data from on-chain analytics showed that whales and ‘shark’ accounts accumulated nearly 1 million Ether over the last three weeks.

Institutional demand also turned around with the launch of US spot Ethereum ETFs. After weeks of tepid action, spot Ethereum ETFs turned back to positive net inflows, including a sizable $177 million inflow in a single trading session, which ranks among the largest since late October. This change in ETF flow patterns has helped steady Ethereum in volatile markets.

On the other hand, leveraged traders initiated a long position in the hope that ETH would continue its upward trajectory. A major part of these long positions has been set above the current market price, indicating that investors do not anticipate a decline.

ETH Breaks Above Important Trend Lines

Ethereum price has also recently broken back above a key 50-week moving average of $3,300. This has been a precursor to substantial gains in the past. ETH, for instance, experienced a 147% increase in value from late 2023 to early 2024 when it broke above this line, while a similar break in 2025 increased by almost 100%.

Analysts note that a break above $3,500, where the 200-day moving average resides, is necessary. Should this area reverse and become support, a major resistance to be broken would then be centered around the all-time high of $5,000.

A falling wedge breakout around $3,000 also adds to optimism. Technical analysis patterns show a target of $4,150 in the case of a breakout. These valuation models indicate that Ether is still undervalued.

Ethereum price chart on CoinMarketCap shows a loss of 5.4% at $3200.62 at the time of writing: 

Also Read: Crypto Prices Today: Bitcoin Price Hits $92,454 as Ethereum at $3,249, and Solana Jumps 4.89%

Treasury Demand Weakens Sharply

At present, one of the most pressing issues Ethereum faces is the sudden loss of demand from Digital Asset Treasuries, companies that held Ether for balance sheet management. This was a major part of their steady buying pressures in 2024 and 2025.

However, new data from Bitwise has shown that treasury sales are down a massive 81% from their peak in August. This means that in November, sales of 370,000 were a mere fraction of the 2 million seen in June.

According to experts, this represents ‘a downstream consequence of declining mNAV levels.’ This means a major support structure, which has been companies accumulating ETH, has weakened in the long run. It is due to a reduced number of companies that can buy and accumulate Ethereum.

Institutional purchases from both DATs and ETFs also decreased. Data from Capriole Investments showed that daily institutional inflows decreased from 121,827 ETH at the peak in August to net sales of 5,520 ETH per day. Although major players like Bitmine are busily acquiring, there are fewer buyers in the pool.

Ethereum Price Prediction: 4,000 Possible or Not?

Despite a fall in treasury sales, Ethereum has some life left in it. The cryptocurrency managed to regain a critical support area around $3,080, where the 50-week and 100-week SMAs met. A daily close above this area suggests that market momentum remains in buyers' hands, according to analysts.

However, for ETH to gain further momentum and reach $4,000, it needs to break through the $3,000-$3,100 resistance, followed by a critical breakout above $3,500. This will make it even tougher for Ethereum, as without treasury support, it would rely even more on whale support.

Also Read: Crypto Market Update: Bitcoin Whales Sell $3.4 Billion as BTC Stalls Near $92,000 Resistance

Conclusion

Ethereum price rise is apparent, but it seems temporary. Whale purchases and ETF inflows are driving this momentum, but a decline in Treasury demand poses a major challenge. Whether Ethereum will break through to $4,000 in the short term or the long run will depend solely on its ability to hold major support levels.

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FAQs

1. Why is Ethereum increasing in value despite decreased corporate interest in it?

Ethereum is continuing to move up, primarily because whales and ETFs are no longer out of the market. They accumulated around 1 million ethers in a relatively short period, and the flow into ETFs also saw substantial inflows, which were very low for a couple of weeks. The major trend lines are back in support of ETH, even though treasury flow has fallen sharply.

2. What were the reasons for a sudden fall in Ethereum’s treasury revenue from both internal and external sources? 

Digital asset treasury companies are suffering from low purchasing power and mNAV values, making it difficult for them to purchase ETH. These companies used to buy a lot of ether in the early part of this year, but there has now been an 81% decrease in purchases.

3. Can Ethereum break through to $4,000 in the near future?

Ethereum still has a chance of reaching $4,000, but only if it breaches two key resistances at $3,100 and $3,500. Without sufficient support from the treasury, the only sources of purchase are left with a huge task. But with a positive market attitude and influx from ETF, reaching $4,000 seems doable.

4. Why are the whales accumulating so much Ethereum now?

Whales usually form when they find value in the long run or anticipate a large move in price. There has been purchasing in the last day, showing that whales find Ethereum cheap around $3,000. Buyers also form around macro events, such as Federal Reserve sessions, anticipating a rate cut, which usually pushes risk assets such as Ethereum.

5. What are the things that investors should look out for in ETH’s future movements?

The critical factors are ETF inflows, whale purchases, and the $3,500 resistance. As long as there are positive ETF inflows and whale purchases, Ethereum has sturdy support. A clean breakout above $3,500 will confirm a momentum change, likely leading to a move to $4,000.