Ethereum investors locked in significant profits on Thursday even as ETH continued to decline in price. According to on chain analytics platform Santiment, the network recorded approximately $74.58 million in realized profits during a single spike, marking the highest level of profit taking seen in the past three weeks.
This surge occurred while Ethereum’s price dropped roughly 5.5% over the last three days.
Traders Who Bought Below $2,000 Are Cashing Out
Santiment explained that the recent profit taking is largely coming from traders who accumulated Ethereum earlier this year when prices traded below the $2,000 level during February and March.
Although ETH has weakened recently, those investors are still sitting on profitable positions and appear to be securing gains while market conditions remain uncertain.
The analytics firm described the February and March period as a time dominated by geopolitical fears and heightened uncertainty across the cryptocurrency market. Traders who bought during that downturn are now taking advantage of higher prices despite the latest correction.
Additional data from CryptoQuant contributor Rei Researcher revealed that Ethereum deposits to Binance surged to around 9,000 ETH, the highest level recorded in more than a year. Inflow data suggested that selling pressure became especially concentrated around the $2,260 price range.
Santiment also observed that Ethereum’s four hour candles have been compressing near the $2,241 area, a signal that distribution activity may be increasing. Higher transaction volumes across the network often lead to larger realized profit and loss totals, especially when many traders begin closing positions simultaneously.
Because of these conditions, Santiment advised traders to remain cautious rather than fully bearish. The firm noted that a major spike in realized losses could eventually signal the formation of a stronger market bottom.
Until the current distribution phase weakens, analysts recommend avoiding overly aggressive trading positions.
Ethereum Faces Important Technical Levels
Ethereum’s recent selling pressure is also occurring at a technically sensitive stage for the asset.
Market analyst Keith Alan pointed out that ETH briefly moved above its broader macro trendline before facing rejection near the 21 week simple moving average. Since then, the cryptocurrency has slipped below several important technical levels around $2,280.
According to Alan, if Ethereum fails to reclaim the 21 week moving average, traders should closely monitor support zones near $2,196 and $2,060. A breakdown below those levels could potentially open the door for a larger decline toward $1,892 and lower.
At the time of writing, Ethereum was still trading comfortably above the $2,200 mark. However, the asset remained down nearly 2% over the past 24 hours and approximately 3% over the last week.
Despite recent recovery attempts, ETH continues to trade around 54% below its all time high above $4,950 reached in August 2025.#crypto#cryptonews https://coinsignals.net https://t.me/coinsignalpublic
