Ethereum Whales Dump $257M of ETH: Is the Market About to Crash?
The recent actions of Ethereum (ETH) whales have sent shockwaves through the crypto community as they dumped a staggering quarter billion worth of ETH in the past 24 hours. This massive sell-off has left investors and traders questioning the future of the market – is a crash imminent, and why are whales and institutions offloading their ETH holdings?
According to on-chain analytics firm CryptoQuant, Ethereum whales have dumped nearly 107,000 ETH, equivalent to $256.8 million, onto cryptocurrency exchanges in the past day. This influx of ETH into exchanges typically creates selling pressure and can lead to a significant price decline.
Interestingly, these large dumps occurred as the overall market was starting to recover on October 5, 2024. Despite the whale activity, ETH has not experienced a major price drop following the sell-off.
Currently, ETH is trading near $2,406 with a slight decline of over 0.75% in the past 24 hours. The trading volume has also decreased by 46%, indicating lower participation from traders and investors possibly due to concerns about a potential market crash.
Technical analysis suggests that Ether is facing strong resistance near the $2,445 level and must maintain support above the $2,335 level to avoid further price declines. If ETH breaches the trendline and closes below $2,335, it could potentially drop to the $2,200 level in the coming days.
At present, ETH is trading below the 200 Exponential Moving Average (EMA) on a daily timeframe, signaling a downtrend. The 200 EMA is a key technical indicator used by traders and investors to determine the asset’s trend and make informed decisions.
The crypto community will be closely monitoring the market in the coming days to see how Ethereum responds to the recent whale activity and whether it can maintain its current price levels amidst growing uncertainty.
