After a bruising 15.6% correction that saw Ethereum (ETH) slide to the $2,860 support zone, the world’s second-largest cryptocurrency is showing signs of a major structural reset. On January 23, 2026, Ethereum whales aggressively stepped in, accumulating over 350,000 ETH worth approximately $1.03 billion in just 24 hours. This massive injection of "smart money" capital coincided with Ethereum reclaiming its No. 2 spot in Layer-1 daily unique addresses (DUAs), surpassing the fast-growing SEI network. With network usage recovering and a bullish volume divergence appearing on the charts, the market is now watching for a 2.6% move above $3,010 to confirm that the bottom is officially in.

The $1 Billion Rebound: Buying the Momentum Reset

The recent 15.6% pullback appears to have served as a necessary "reset" for Ethereum's overextended momentum.

  • Whale Accumulation: Following the drop to $2,860, exchange-independent whales increased their total holdings to 104.08 million ETH. By adding over $1 billion in a single day, these high-conviction players are treating the current sub-$3,000 price as a major value entry.

  • Volume Divergence: While the price was trending lower on January 20-21, the On-Balance Volume (OBV) formed a higher low. This "bullish divergence" indicates that selling pressure was actually drying up and being absorbed by larger entities before the price stabilized.

Fundamental Recovery: Reclaiming the No. 2 Spot

Ethereum’s technical rebound is being supported by a significant recovery in actual network utility.

  • L1 Rankings: Exclusive analysis shows Ethereum has overtaken SEI to regain the No. 2 rank in Daily Unique Addresses (DUAs) among Layer-1 blockchains, trailing only BNB.

  • Social Dominance: This fundamental shift triggered a massive spike in social dominance, which jumped from 0.37% to over 4.4% in 24 hours. Historically, these spikes in network relevance and social chatter have served as precursors to short-term price advances for ETH.

The Road to $3,350: Key Levels to Watch

Ethereum is currently hovering around $2,950, pinned between a clear floor and a critical ceiling.

  • The Resistance: For the $1 billion whale injection to bear fruit, ETH must decisively break above $3,010. Clearing this level would signal a shift in short-term momentum, putting the $3,350 resistance zone back into play.

  • The Floor: On the downside, $2,860 remains the "line in the sand." If ETH fails to hold this support, the bullish recovery thesis would be invalidated, potentially exposing the asset to a deeper slide toward $2,770.

Essential Financial Disclaimer

This analysis is for informational and educational purposes only and does not constitute financial, investment, or legal advice. Reports of a $1.03 billion whale accumulation and network rankings are based on on-chain data and market analysis as of January 24, 2026. Ethereum remains a highly volatile asset; while whale activity is a constructive signal, it does not guarantee a price breakout. Technical levels like $3,010 and $2,860 are probabilistic zones and can be breached during periods of extreme market stress. Always conduct your own exhaustive research (DYOR) and consult with a licensed financial professional before making significant investment decisions.

Do you think the $1 billion whale buy-in is enough to push Ethereum back above $3,500, or will $3,010 act as a brick wall?