Will Ethereum long positions defend this support level as over 52 million ETH is bought at a price of $2,300?

The price of Ether is holding steady within a narrow range of $400 Fluctuation, with a low of $2,300 and a high of $2,800. Despite optimistic investors expecting a surge in the price in the next few trading days, uncertainty still looms over the market.
The world's second most valuable currency is falling, down more than 50% from its July high and unable to break through the partial resistance level of $3,500. Traders are closely following the price movement, and an analyst has discovered an interesting development from the market data.
The analyst quoted data from October 11th and observed that traders purchased over 52 million ETH at a price level of around $2,300. Considering the quantity of Tokens held by traders, this price range is a direct support level.
Therefore, if buyers have the upper hand and push up the price from this point, this level will support the pump trend. If sellers double down, as has been the case in the past few months, there is a possibility that ETH will fall below the low point of Q3 2024. Currently, the market sentiment is bearish, as indicated by surveys. Over 65% of ETH holders and traders expect prices to be in trouble in the short term.
Therefore, the reaction of the price at the local support level will determine the formation of the short to medium term. The surge of ETH will drive demand above $2,800, which is crucial for driving demand and providing a much-needed tailwind for optimistic traders.
Despite the high optimism, other related market data indicate a weak market. In the past few trading weeks, the Market Cap of stablecoins such as USDT and USDC has been declining. As of October 10th, analysts pointed out that their Market Cap had dropped by $780 million from the recent high of Fluctuation, indicating a possible decrease in purchasing power.
Typically, whenever USDC, USDT, or even DAI are transferred to a centralized exchange, more users become enthusiastic about purchasing encryption assets, including ETH and BTC. However, if there is a fund outflow or a decrease in its Market Cap, it may mean that more users will remain cautious and closely follow the events before investing.
Usually, when the market outlook is uncertain, more currencies, including stablecoins, tend to flow into centralized exchanges. Such fund inflows often precede the overall market adjustment.
Currently, there is no phenomenon of ETH flowing into centralized exchanges. However, more and more holders are starting to participate in staking. As of mid-week, market data shows that over 34 million ETH are still locked, with holders' Annual Percentage Rate at 3.3%.
(Data source: Dalmas Ngetich)