Ethereum has experienced a significant loss of $6.4 billion in leveraged positions, leading to a noticeable price decline. While the market grapples with a correction, whales – large crypto holders – are actively buying ETH at record levels, defying market trends. This raises questions about the potential for Ethereum’s resurgence and what this dynamic signifies for the future of the network. In recent months, Ethereum has been undergoing significant deleveraging, as open interest on major exchanges like Binance has plummeted by a staggering 51%. Platforms such as Gate.io and Bybit have followed suit, resulting in massive liquidations of overleveraged positions. This has led to a substantial price drop for ETH, falling from $4830 to $2800 in just a few months. Despite this market turmoil, a notable trend is emerging: large crypto investors known as whales are purchasing ETH aggressively, accumulating billions of dollars worth of the cryptocurrency between $3247 and $3515 per coin. This behavior creates a paradox: why buy when the market appears to be in decline? However, some analysts believe this buying spree is not impulsive but calculated. It could be part of a strategic move by institutions or experienced investors who see this as an opportunity to purchase ETH at a discounted price during a period of volatility. A number of factors support this potential for growth. Upcoming network upgrades like Fusaka promise to increase scalability and decrease transaction fees, strengthening the Ethereum network’s foundation. Additionally, regulatory clarity surrounding ETH, including the SEC confirming that it’s not a security, has generated confidence among investors. 2026 could bring more positive changes: The price of ETH might stabilize around $2800-3200 dollars based on current expectations, but with the potential for a rebound if network improvements and institutional adoption materialize. Whether this 6.4 billion dollar loss represents the end of one cycle or the beginning of another remains to be seen. However, whales’ massive accumulation hints at an optimistic outlook on Ethereum’s future.