Ethereum is currently "stuck" in the $3,200–$3,400 resistance zone, where high liquidation could determine whether ETH breaks through to $3,800 or is pulled back to $3,000.
On January 7, 2026, ETH 's upward momentum pushed the price close to a key resistance zone, amidst increased institutional money inflows and whale activity. When buying and selling pressure accumulate around a threshold, volatility is usually stronger, and the next direction depends on whether the price can maintain liquidation above this crucial zone.
- ETH faces resistance in the $3,200–$3,400 range, with scenarios of a breakout to $3,800 or a correction to $3,000.
- Ethereum ETF inflows reached $114 million on January 6th, reinforcing the upward momentum driven by institutional buying.
- Whales and institutions are rotating Capital into ETH, including a transaction exchanging $2.5 million worth of WBTC for 770 ETH.
James Wynn opened a Longing ETH position with 25x leverage.
James Wynn placed a strong bet on ETH with a 25x leveraged Longing position after taking profits on Bitcoin, reflecting the optimistic sentiment of a group of traders as ETH tested a major resistance zone.
Wynn was mentioned after taking a Longing Ethereum position with 25x leverage, having previously recorded a profit of $87,594 in Bitcoin before converting to ETH. He also had a floating profit of $172,000 from a $ PEPE position, demonstrating a high-risk, leverage-oriented trading style.
Entering aggressive trades near the $3,200–$3,400 resistance zone often implies an expectation of a breakout. However, high leverage can amplify volatility: if the price fails to break through this zone, liquidations/downward spirals could cause a rapid drop to lower support levels.
Ethereum ETF inflows reach record $114 million.
The Ethereum ETF recorded an inflow of $114 million on January 6th, indicating strong institutional buying and potentially supporting ETH in challenging its near-term resistance level.
Ethereum's upward momentum was driven by the $114 million inflow of Ethereum ETFs on January 6th. Institutional participation, including leading players like BlackRock, has further solidified ETH 's legitimacy in the eyes of investors in recent weeks and months.
When ETF inflows increase, the market typically sees improved liquidation and a more sustainable buying structure compared to purely speculative rallies. If liquidation continues to accumulate above the $3,200–$3,400 range, the probability of a breakout may increase; conversely, weakening inflows could cause the upward momentum to falter at the resistance level.
World Liberty Financial exchanged $2.5 million worth of WBTC for 770 ETH.
World Liberty Financial bought ETH by swapping $2.5 million worth of WBTC for 770 ETH, reinforcing the signal that the institution is shifting its Capital toward Ethereum.
Following the whale's rotational movements, World Liberty Financial also executed a notable transaction: they swapped $2.5 million worth of WBTC for 770 ETH. This transaction is XEM as a sign that institutional Capital is shifting further towards Ethereum.
This move was Chia via a post related to World Liberty Financial's Ethereum purchase . With ETH testing strong resistance, increased institutional participation is typically interpreted positively by the market, but still needs confirmation from price reactions at key technical levels.
The dense liquidation of liquidity at $3,200–$3,400 will determine the trend.
ETH is forming a liquidation cluster around $3,200–$3,400: a breakout could pave the way to $3,800, while a failure could drag the price back down to $3,000.
At the time mentioned, Ethereum was in a "tense" state as liquidation accumulated around the $3,200–$3,400 resistance zone. This is where pending buy/sell orders often thicken, making the market susceptible to a liquidation sweep before determining direction.
If ETH fails to break through this zone, a correction to $3,000 is clearly outlined in the original text. Conversely, if there is a decisive breakout, the next target the market is watching is $3,800.
The technical indicators in the original text show the RSI at 61.72, leaning towards a strong buy and potentially approaching overbought, while the MACD reflects positive momentum. Taken together, this supports an uptrend but also warns of a potential reversal if defensive selling pressure at resistance prevails.
In summary: Whales and organizations are gaining ground, but the $3,300 mark is the key point.
Whale activity, Ethereum ETF inflows, and institutional swap transactions are raising bullish expectations, but ETH needs to maintain liquidation above $3,300 to increase the probability of breaking resistance.
The signals in the original content suggest that many "big players" are surrounding ETH: from leveraged trading by prominent traders to institutional purchases. These moves are often XEM as a measure of confidence in the altcoin's medium-term prospects.
The $3,300 mark is highlighted as a zone requiring sustained liquidation to Vai as a catalyst for a breakout. If the market holds above this level and effectively absorbs selling pressure at $3,200–$3,400, a scenario extending to $3,800 becomes clearer; otherwise, the $3,000 region will be a crucial retest point.
Frequently Asked Questions
What price range is currently the most important resistance level for Ethereum?
The main resistance zone to watch is $3,200–$3,400, where a dense liquidation of liquidity forms and could determine whether ETH breaks through or is rejected.
If ETH fails to break above $3,200–$3,400, what is the downside target?
The original text outlines a scenario where, if ETH fails to break through the $3,200–$3,400 range, the price could be pulled back to $3,000.
What does the $114 million inflow of funds into the Ethereum ETF mean?
The inflow of $114 million (on January 6th) indicates increased institutional buying and could support ETH 's upward momentum as it tests the resistance zone, although confirmation from price action is still needed.
How did World Liberty Financial buy ETH ?
They exchanged $2.5 million worth of WBTC for 770 ETH, representing a rotation of Capital into Ethereum in its original form.
