In late January 2026, Ethereum (ETH) displayed conflicting market signals as its price corrected below $3,000. While a monthly chart showed a bullish technical pattern, a bearish momentum indicator introduced caution. Large investors, or “whales,” were accumulating ETH during the dip, contrasting with retail traders focused on short-term highs. The network’s fundamental strength was evidenced by a Total Value Locked of roughly $331 billion.
Ethereum’s market showed mixed signals as price action weakened while longer-term structure and fundamentals stayed constructive. After slipping below $3,000 and erasing roughly 16% of its January 2026 gains, ETH entered a volatile consolidation phase.
On the 25th of January, Ethereum was completing a bullish pennant on the monthly timeframe, which attracted traders looking for long-term gains. However, the MACD’s bearish cross at a price point near $2,942 raised caution among market participants.
Data from CryptoQuant showed whales steadily accumulated Ethereum, positioning themselves for long-term gains by taking advantage of the dip between approximately $2,600 and $3,000. Meanwhile, retail investors were caught up in short-term price swings, clustering around local highs and adding to market volatility.
Ethereum’s Total Value Locked (TVL) stood near $331 billion, reinforcing the network’s underlying strength despite price weakness. Historically, periods when ETH traded below its ecosystem value have coincided with long-term accumulation zones and subsequent strong recoveries.
The stark contrast between whales’ calculated moves and the retail crowd’s reaction painted a picture of a market torn between long-term vision and immediate fluctuations. Even with strong network fundamentals, the market still faced momentum headwinds and uncertain risk appetite.
