Traders Eye Key Support as BitMine Adds $417M in ETH

• Ethereum stabilizes near $4,000 as traders await a decisive breakout or breakdown.
• Rising open interest signals heightened volatility and growing institutional engagement.
• BitMine‘s massive ETH purchase reinforces long-term confidence in Ethereum’s value.

Ethereum continues to trade within a tight range following its recent pullback from the $4,760 high. The asset now hovers near $4,000 as traders assess the next directional move.

Despite short-term weakness, growing institutional activity suggests confidence in Ethereums long-term strength. The market shows signs of balance between accumulation and caution, hinting at a potential surge in volatility.

Price Holds Key Fibonacci Support Zone

Ethereums four-hour chart reflects a consolidation phase after a sharp correction. The price currently trades around $4,004, close to the 23.6% Fibonacci level at $3,910, which acts as near-term support. A breakdown below this point could push prices toward $3,650, the next significant swing low.

ETH Price Dynamics (Source: TradingView)

On the upside, resistance emerges at the 38.2% Fibonacci retracement of $4,222, overlapping with the 50-day and 100-day exponential moving averages. This confluence creates a critical zone for traders watching a breakout. A close above $4,220 may trigger momentum toward $4,335 or even $4,520 if buyers regain strength.

Open Interest Surge Suggests Major Price Swing Ahead

Ethereums futures open interest has expanded rapidly throughout 2025, rising from $10 billion in January to nearly $46 billion in mid-October. This growth reflects robust engagement among leveraged traders and institutions.

Source: Coinglass

Historically, such spikes in open interest often precede volatile movements as traders position for large swings. Moreover, the consistent increase in futures participation reinforces Ethereums dominance in the derivatives market, underscoring its maturing appeal to institutional investors.

Spot Flows Point to Renewed Accumulation

On-chain data reveals fluctuating exchange flows as investors reposition for the next move. From February through September, outflows dominated as holders withdrew ETH from exchanges, indicating long-term accumulation.

Source: Coinglass

However, recent net inflows of about $3 million show renewed trading activity. Sustained inflows above the $3,900 level could build the foundation for another rally toward $5,000, a psychological resistance zone.

BitMine Expands Ethereum Treasury

Institutional demand received another boost when BitMine Immersion Technologies purchased over 104,000 ETH, valued at roughly $417 million. This addition brought its total holdings to more than 3 million ETH, worth $12.2 billion.

The firm, led by Tom Lee, aims to acquire 5% of Ethereum‘s total supply. This move demonstrates deep conviction in Ethereum’s long-term potential and strengthens its position as the largest corporate holder of ETH globally.

Technical Outlook for Ethereum Price

Key levels remain clearly defined as Ethereum consolidates below the $4,200 resistance zone heading into late October.

• Upside levels: $4,130 (50-EMA), $4,222 (38.2% Fib), and $4,335 (0.618 Fib) as immediate hurdles. A confirmed breakout above $4,335 could open the path toward $4,520 and $4,760, the recent swing high.
• Downside levels: $3,910 (23.6% Fib support) remains the first key defense, followed by $3,650 (recent swing low) and $3,400 (200-day EMA).
• Resistance ceiling: The $4,256 zone, near the 200-EMA, stands as the key level to flip for medium-term bullish momentum.

Technically, Ethereum is compressing inside a tightening consolidation channel following its correction from $4,760. The pattern signals equilibrium between buyers and sellers, with volatility likely to expand once price breaks outside this range.

Will Ethereum Break Higher？

Ethereums short-term trajectory depends on whether buyers can protect the $3,910 support zone long enough to reclaim the $4,220–$4,335 cluster. Sustained buying pressure above this range could shift momentum toward a retest of $4,520 and potentially $4,760.

However, failure to defend $3,910 would expose Ethereum to deeper retracements toward $3,650 or even $3,400, maintaining the current bearish bias. For now, Ethereum trades in a pivotal zone where futures leverage, institutional flows, and treasury accumulation may dictate the next major swing.