Ethereum’s native token finally surpassed its previous all-time high during the 2025 rally, but its performance has lagged behind other assets like Bitcoin. Since peaking at $4,950 in August 2025, ETH has fallen sharply and currently trades more than 53% below that high, despite a broad market rebound in recent weeks.
On-chain data also indicates that large holders—so-called whales—have been reducing their ETH positions. That raises a key question: what will it take for Ethereum to regain $3,000 and continue higher?
Are Whales Reducing ETH Holdings?
Last year, ETH whales accumulated heavily, driving balances higher in the months leading up to the all-time high and prior to the market-wide sell-off in early October. Data shared by analyst Ali Martinez showed that addresses holding between 1,000 and 10,000 ETH increased their combined holdings from about 12.95 million to roughly 15.95 million tokens in a matter of months.
Since that peak, however, their activity has shifted. Apart from a few short-lived accumulation phases, the cohort has been net sellers. Martinez reports that these addresses have reduced their holdings by roughly 21.5%, bringing their total down to about 12.52 million ETH—below their starting point of 12.95 million.
That sizable withdrawal of supply from whale balances has prompted concerns about whether Ethereum can mount a sustained rally back to $3,000 without fresh demand. Martinez and other observers suggest that a new wave of institutional or retail buying will likely be needed to counteract continued distribution from large holders.
Ethereum whales are doing something they haven’t done in a year.
Since October 6, 2025, Ethereum whales holding 1,000 to 10,000 $ETH have undergone a significant regime change in their market behavior.
Before this shift, this cohort was in a steady accumulation regime. Their… https://t.co/5WAJSKsnl9 pic.twitter.com/qezrxfq6Re
— Ali Charts (@alicharts) May 7, 2026
Are ETF Inflows Turning the Tide?
Spot Ethereum ETFs experienced five consecutive months where outflows outpaced inflows, but that streak was broken in April when the funds attracted more than $355 million in fresh capital. May also started with positive flows—about $170 million entered the funds in the first few days—but year-to-date totals remain negative.
Moreover, cumulative net inflows into ETH spot ETFs are still below the peak seen in early October, when inflows reached roughly $15 billion. As of last week’s close, the cumulative total stood at just above $12 billion.
Given these figures, ETF investors have not yet provided enough buying power to make up for whale selling. That dynamic helps explain why ETH remains more than 53% below its August 2025 high and why multiple breakout attempts have stalled around $2,400.
For Ethereum to recover toward $3,000 and beyond, a combination of sustained ETF inflows, renewed retail interest, and continued macro-level support will likely be necessary. Without stronger, consistent demand across these channels, large sellers could continue to cap rallies and keep price action range-bound for the foreseeable future.