On-chain data reveals a significant split in Ethereum investor behavior as the asset trades below key psychological and cost-basis levels. While the price struggles to reclaim $2,000, a clear divergence has emerged: large-scale "whale" addresses are distributing their holdings, while smaller retail investors and long-term accumulation addresses are actively buying.
According to analytics from Santiment, wallet addresses holding at least 1,000 ETH—classified as high-tier holders—have been selling. This cohort, which previously controlled over 75% of Ethereum's total supply, has reduced its holdings by about 1.5% since Christmas. This selling activity suggests profit-taking or repositioning among major players.
In stark contrast, wallet addresses holding less than 1 ETH (low-tier investors) have been accumulating, pushing their collective stash to a record 2.3% of the total supply. Mid-tier investors (holding 1 to 1,000 ETH) have also been steady buyers, increasing their collective holdings to over 23% of the supply for the first time since July 2025.
Simultaneously, data on long-term "accumulation addresses" shows these high-conviction holders are increasing their ETH inflows even while the spot price trades below their average realized cost basis. This means these committed buyers are currently at a paper loss but continue to purchase, signaling strategic positioning over emotional selling. This behavior reduces liquid supply as coins shift from short-term sellers to wallets with longer time horizons.
The staking ecosystem underscores this long-term conviction. A record 30% of all ETH supply, valued at approximately $72 billion, is now locked in staking. The validator count has reached 1 million, and the entry queue to stake ETH is at an all-time high, with 4.1 million ETH waiting—a process that now takes over 71 days. The exit queue is minimal by comparison, with only about 75,872 ETH slated to leave. Analysts interpret this massive, illiquid lock-up during a price dip as a sign of settling in for the long term, not speculative yield farming.
