If this pattern completes, Ether may test $2.5K soon.

Ether (ETH) opened the week below the psychological $2,000, which put the altcoin in February's 20% loss. Still, onchain data shows that long-term investors are hoarding ETH and network usage is increasing.

Now, analysts are examining how ETH's technical outlook and initial data align with demand to see if an extended rally above $2,000 is possible.

Main Receptors:

In February, more than 2.5 million ETH moved into storage addresses, raising holdings to 26.7 million for 2026.

Ethereum weekly transactions reached 17.3 million as the average payout fell to $0.008, a 3,000x decrease from the 2021 peak.

ETH open interest is down to $11.2 billion, but leverage is higher, with liquid pools stacked near $1,909 and $2,200.

Despite the decrease in price, the stock of Ether will grow

Ether storage addresses increased to more than 2.5 million ETH in February, although the price fell by 20%. Total holdings have grown to 26.7 million ETH from 22 million at the beginning of 2026.

Michael Van de Pop, founder of MN Capital, stated that ETH is at its lowest level relative to silver, arguing that such difficult market levels often present a long-term rally window.

Along with improving the basics, the demand for the network is also improving. Currently, more than 30% of the circulating supply of ETH (37,228,911 ETH) is held in stocks, reducing its liquidity. At the same time, weekly transaction count reached an all-time high of 17.3 million, while average payouts dropped to $0.008.

By comparison, Lisk's head of research, Leon Weidman, said weekly transactions were around 21 million, but the average payout rose to more than $25 in the peak period of 2021. The current structure reflects higher utilization at significantly lower prices.

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ETH will be squeezed below $2,000 as wealthy traders make for a solution

On the four-hour chart, Ether appears to be building an Adam and Eve bottom, a bullish reversal setup that begins with a sharp, V-shaped low (“Adam”) followed by a slower, rounded base (“Eve”).

The structure reflects an initial strong sale that quickly finds buyers, followed by a period of gradual accumulation as volatility contracts.

A confirmed breakout above the $2,150 neckline could confirm the pattern and open the door to the $2,473–$2,634 range based on the forecast of movement measured from the base. With $1,909 acting as a key short-term liquidity level, the price remains below recent highs.

Open interest declined from a cycle peak of $30 billion to $11.2 billion in August 2025. However, the estimated consumption ratio was higher at 0.7, down slightly from 0.77 in January. This indicates that energy is still concentrated in the system, increasing the likelihood of sharp motion.

Hyblock data shows that 73% of global accounts are currently long on ETH. Liquidity heat maps show more than $2 billion in short positions stacked above $2,200, with nearly $1 billion in long liquid positions near $1,800, indicating an upward squeeze risk.

Although the nearby dense cluster sits at $1,909, $563 million of longs are at risk, potentially becoming a short-term liquidity magnet ahead of expected growth.

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