Ethereum Price Hit $4,660 as Fidelity Bought $145M While Retail Sold

Ethereum price jumped to $4,660 on Aug. 13 after Fidelity bought $145 million worth of the token, wallet data showed. The move came as retail traders sold into the rally, creating a shift in market liquidity. Blockchain analytics firm Santiment said small traders offloaded holdings amid “fear and disbelief,” even as prices broke above the key 0.618 Fibonacci retracement level at $4,516.

Retail Disbelief Meets Institutional Accumulation

Santiment data showed retail commentary on X leaned heavily bearish during the move. The firm pointed out that price action can move in the opposite direction when sentiment turns too negative.

“Key stakeholders accumulated loose coins that small ETH traders were willing to part with,” Santiment wrote. It also said the market faced “very little sentiment resistance” to higher prices under current conditions.

Glassnode data indicated that short-term holders, defined as those who bought in the past 155 days, sold more than long-term holders. That profit-taking cut down speculative supply but also reduced immediate buy pressure if the market reversed.

The latest rally followed a 53% gain in the past 30 days. In April, Ethereum traded below $2,000 after a 60% drop from January highs. That rebound restored its role as a leader among major altcoins.

Ethereum Price Technical Signals Flash Warning Signs

On the technical side, Ethereum traded above its upper Bollinger Band at $4,565. The Relative Strength Index (RSI) closed at 78.67, placing the market in overbought territory.

Source: Ali Martinez/X

Crypto trader Ali said on X that a TD Sequential sell signal appeared on Ethereum’s daily chart. He warned that losing $4,150 could open the door for a move to $3,980 or $3,860.

The 0.5 Fibonacci retracement at $4,295 acted as a key pivot earlier in the rally. After clearing that mark, Ethereum’s next technical target sits at $5,233, the 1.0 Fibonacci extension from the previous swing high.

Data from CoinGlass showed moderate long liquidations during the climb, suggesting that most leveraged buyers stayed in their positions. Open interest in ETH futures rose, pointing to more traders adding exposure after the breakout.

Institutional Flows Offset Retail Selling

Fidelity’s $145 million purchase underscored a wider institutional shift toward accumulation. Blockchain tracking firm Lookonchain reported multiple transfers of 5,000 to 10,000 ETH into custody accounts in recent days. Such inflows often signal intentions to hold over the longer term rather than trade actively.

Santiment noted that in June and July, retail optimism reached extremes before prices corrected. This time, it said, fear was the dominant sentiment, which could leave room for higher prices if institutional buying continues.

The ETH/BTC pair also moved higher, showing Ethereum’s relative strength against Bitcoin during the rally. Some traders linked the move to expectations for changes in staking yields and upcoming network upgrades.

Ethereum’s advance came as U.S. Treasury yields held steady and markets expected the Federal Reserve to keep rates unchanged in the next quarter. The absence of macro headwinds gave digital assets space to extend gains.

Risk assets, including equities, also traded higher during the same period. That broad risk-on environment likely supported capital inflows into crypto markets.

Still, analysts said liquidity could tighten quickly if macro sentiment turns. A stronger U.S. dollar or a sharp rise in yields could weigh on Ethereum and other major coins.

Ethereum Outlook and Key Levels

Ethereum closed the day near $4,660, above both the 0.5 and 0.618 Fibonacci retracement levels. Large-scale buying offset retail selling, while sentiment readings suggested more upside was possible if disbelief persisted.

Ali’s call for a possible drop toward $3,980 if $4,150 broke remained in play for bears. For bulls, the $5,233 level stood as the next target.

Glassnode’s breakdown of holder activity showed that profit-taking risk stayed high in the near term. Traders now watched for signs that institutional inflows would continue or whether retail exits would accelerate if prices faltered.

Upcoming network developments and changes in staking returns could act as catalysts. For now, Ethereum’s rally rested on a narrow balance between large-scale accumulation and the potential for technical pullbacks. That mix left the market primed for sharp moves in either direction as August trading unfolded.