ETH
Ethereum Foundation Dumps 35K ETH, ETH Price Plunges 12%, Recovery Ahead?
Published
3 weeks agoon
By
adminEthereum price saw a strong selloff on August 27 in the late US session and was in line with broader crypto market corrections. One key aspect that stood out for ETH investors is the August 23 transfer of 35,000 ETH from the Ethereum Foundation. This is not the first time the entity behind Ether has transferred and sold ETH from its holdings. Every time such a transfer was noted, Ethereum price suffered a fatal crash.
The #Ethereum Foundation deposited 35K $ETH($94.07M) at $2,688 to #Kraken 5 days ago, now at $2,450, down 8.8%!#Ethereum Foundation sold near the top again!
Since Jan 1, 2021, the #Ethereum Foundation has sold 239K $ETH($654M). pic.twitter.com/LQeRN5grOk
— Lookonchain (@lookonchain) August 28, 2024
Ethereum Foundation’s Sell Signal Record
On August 23, the Ethereum Foundation’s balance dropped from 309,000 ETH to 274,00 ETH. Data from Arkham Intelligence showed that the 35,000 ETH was transferred to Kraken. Every time the entity sells ETH, it has a vivid impact on the price of Ether. Crypto investors consider the foundation’s transfers a top or sell signal as the Ethereum price often crashes, forming a local top.
The August 23 transfer resulted in a 14.51% crash in Ethereum price in the next five days.
Historically, this outlook has remained true. For example, the May 6, 2023, transfer of 15,000 ETH worth nearly $30 million triggered a 16% plummet after a month and a 24% crash in the next three months.
Ethereum Foundation currently holds 274,000 ETH worth $675 million. ETH price has bounced nearly 4% from the August 27 bottom of $2,392 and shows promise of a further recovery if Bitcoin manages to recover above the $60,000 psychological level.
Ethereum Price Analysis: ETH Short-Term Recovery Rally on the Cards
Ethereum price has cleared the sell-side liquidity below the swing lows formed after August 12. This development, called rinsing, is often seen in the crypto futures markets, where prices drop before triggering a bullish move. With that in mind, investors can expect the recovery rally from Ether to be strong.
One condition for this bounce is Bitcoin’s strength. If BTC price reflects bullish momentum and flips the $60,000 key level into a support floor, it would suggest the start of a recovery rally for not just ETH but also the rest of the crypto markets.
Such a development could see Ethereum price forecast hint at a revisit the $2,618 hurdle that was recently flipped into a resistance level.
Adding credence to this outlook is the recent uptick in whale transactions worth $1,000,000 or more. These transfers serve as a proxy of institutional investors, and when these transactions occur after a price drop, they often correlate to dip-buying opportunities. More often than not, if this metric spikes after a brutal selloff, it is proceeded by quick price reversals.
On the other hand, if Etheruem price fails to recover, it could crash another 11% before it encounters a key support level of $2,190.
Frequently Asked Questions (FAQs)
The Ethereum Foundation’s transfer of 35,000 ETH on August 23 is one of the reasons for the recent ETH price drop.
The ETH price plummeted nearly 12% from a high of $2,699 to $2,387.
Previous transfers from Ethereum Foundation have catalyzed double-digit crashes that have lasted up to three months.
Akash Girimath
Akash Girimath is an engineer at core, but is interested in the chaos of the financial markets. Akash is senior report and analyst who also trades cryptos on a regular basis and maintains a small crypto fund for friends and family.
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
Source link
You may like
Toncoin, Intel Markets and Ethereum
Whale Dumps Entire PEPE, FLOKI, and WLD Holdings, What’s Next For These Assets?
Nervos Network Bulls Add More Profits To Their Wallets With Gambling Token Mpeppe
Celebrating 10 Years of the Hardware Wallet Revolution
FET price rises as CEX inflows rise ahead of Cudos merger vote
5 Crypto to Sell to Avoid Losses After Fed’s 50 bps Interest Rate Cut
Recent Ethereum price action saw ETH reaching another low of $2,150 on September 6, raising concerns of a more severe drop towards the $2,000 price level. Although these concerns were eased with a subsequent bounce to $2,460 on September 13, Ethereum remains largely in a downtrend, with a triple-bottom price formation now shaping up.
Interestingly, this triple bottom formation is not new for Ethereum. As technical analysis points out, the current price action seems to repeat a similar playout in mid-2021.
Ethereum Fractal Suggests Rally In Q4
According to a technical analysis by crypto analyst CryptoBullet on social media platform X, Ethereum is shaping up to form a triple bottom price formation on the 1D candlestick time frame. While the third bottom has yet to be fully completed, the analyst draws attention to a similar pattern that unfolded between June and August 2021.
Related Reading
During those three months, Ethereum’s price fluctuated up and down to create three distinct lows just above the $1,675 mark. After the third low was established, Ethereum experienced a significant bullish rally that propelled it to break through and establish its current all-time high. This upward movement became even more pronounced after a fractal pattern emerged in August 2021, signaling a strong momentum shift.
Recent market dynamics have prompted Ethereum to create two bottoms of around $2,150 in August and September. Interestingly, a recent rejection at the $2,450 resistance has seen Ethereum pushing on a decline. This has prompted analyst CryptoBullet to highlight the possibility of a third low in October, thereby completing the triple bottom formation.
Price formations in cryptocurrency markets are known to repeat over time, often following patterns that can help traders anticipate future movements. While no two market conditions are exactly the same, studying past price movements provides valuable insights into what may happen in the future. A similar playout of the 2021 price action puts on a similar surge for Ethereum in Q4 2024. Notably, the analyst envisioned a rally towards the $3,700 price level.
What’s Next For ETH?
At the time of writing, Ethereum is trading at $2,320 and continues to exhibit a weak short-term outlook. If Ethereum fails to clear the $2,340 resistance, it could start another decline towards $2,150.
Related Reading
This weak performance and outlook are even more pronounced compared with Bitcoin. As such, Ethereum/Bitcoin is now at its lowest level since April 2021, a staggering 41-month low. Most of this lackluster action has also been exacerbated by selloffs from a few large holders. For instance, Ethereum co-founder Vitalik Buterin recently came under scrutiny for selling $2.2 million worth of Ethereum.
Featured image created with Dall.E, chart from Tradingview.com
Source link
Bitcoin
‘It’s Almost Over’ – Analyst Benjamin Cowen Predicts Ethereum Bottoming Out Against Bitcoin
Published
23 hours agoon
September 18, 2024By
adminPopular crypto analyst Benjamin Cowen thinks Ethereum (ETH) is close to bottoming out against Bitcoin (BTC).
Cowen tells his 856,500 followers on the social media platform X that he thinks the ETH/BTC ratio will bottom out between 0.03-0.04 BTC and then trend up next year.
“It could bottom as early as this week or as late as December. Based on prior capitulations, I think it will happen sooner rather than later…
More people need to understand that ETH/BTC is not equivalent to ETH/USD. Last cycle, ETH/USD kept dropping even after ETH/BTC bottomed. But whenever ETH/BTC does find its cycle low, it should correspond with at least a temporary bounce for ETH/USD.”
Cowen compares the current ETH/BTC chart to the relationship between the top two crypto assets back in 2019.
“While ETH/BTC bottomed shortly after the 1st rate cut in 2019, ETH/USD trended down until [end of year].”
Cowen has been on target with ETH/BTC this year.
ETH is trading at $2,326 at time of writing. The second-ranked crypto asset by market cap is up more than 1.5% in the past 24 hours.
BTC is trading at $60,252 at time of writing. The top-ranked crypto asset by market cap is up more than 3% in the past day.
Don’t Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
Check Price Action
Follow us on X, Facebook and Telegram
Surf The Daily Hodl Mix
 
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Generated Image: Midjourney
Source link
Altcoins
‘Run It Back’ – Crypto Analyst Predicts Massive Rallies for Ethereum and Solana, Says October Will Be ‘Lit’
Published
1 week agoon
September 12, 2024By
adminA widely followed crypto strategist believes sharp recoveries are in store for Ethereum (ETH) and its competitor Solana (SOL).
Starting with the top smart contract protocol, pseudonymous analyst Kaleo tells his 647,300 followers on the social media platform X that his bearish scenario for Ethereum is no longer valid.
The trader shares a chart suggesting that ETH has already printed a local bottom and is now gearing up for big rallies.
“The yellow line is cursed.
The white line in this thread has been goated and will continue to be goated.
Run it back.”
Looking at the trader’s chart, he seems to predict that Ethereum will rally to $4,400. At time of writing, ETH is trading for $2,383.
As for Solana, Kaleo shares a chart suggesting that SOL is now en route to a new all-time high after holding support at $120.
“The white lines were and always have been the path. Run it back.”
Based on the trader’s chart, he seems to predict that SOL will rally to a new record level at around $400. At time of writing, SOL is worth $135.63.
Kaleo also says that Q4 will be incredibly bullish for crypto after witnessing an extended corrective period over the last six months or so.
“Uptober is gonna be lit. Upvember will be even better.”
Don’t Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
Check Price Action
Follow us on X, Facebook and Telegram
Surf The Daily Hodl Mix
 
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Generated Image: Midjourney
Source link
Toncoin, Intel Markets and Ethereum
Whale Dumps Entire PEPE, FLOKI, and WLD Holdings, What’s Next For These Assets?
Nervos Network Bulls Add More Profits To Their Wallets With Gambling Token Mpeppe
Celebrating 10 Years of the Hardware Wallet Revolution
FET price rises as CEX inflows rise ahead of Cudos merger vote
5 Crypto to Sell to Avoid Losses After Fed’s 50 bps Interest Rate Cut
Bitcoin on the Cusp of Breakout Into Parabolic Phase, Says Crypto Analyst – Here’s the Timeline
Germany's Commerzbank and DZ Bank To Offer Bitcoin and Crypto Trading
Hut 8 deepens Bitmain partnership with launch of new ASIC miner in 2025
Binance CEO Says Institutional Investors Grew 40% This Year
Solana’s New Phone Promises More for Less—And Already Seeing Huge Demand
Federal Reserve Cuts Interest Rates by 50 Basis Points to Address Economic Uncertainty
XRP, SOL stagnate as new rising altcoin seizes the moment with another ATH
SOL Price Jumps 5% As Solana Seeker Mobile Goes Live With AI Features
Crypto Exchange Bitget Seals 'Multi-Million Dollar' Deal with La Liga
Top Crypto News Headlines of The Week
Ethereum, Solana touch key levels as Bitcoin spikes
Bitcoin 20% Surge In 3 Weeks Teases Record-Breaking Potential
Bitcoin Open-Source Development Takes The Stage In Nashville
Ethereum Crash A Buying Opportunity? This Whale Thinks So
New U.S. president must bring clarity to crypto regulation, analyst says
Why Did Trump Change His Mind on Bitcoin?
Will XRP Price Defend $0.5 Support If SEC Decides to Appeal?
Shiba Inu Price Slips 4% as 3500% Burn Rate Surge Fails to Halt Correction
Citigroup Executive Steps Down To Explore Crypto
Bitcoin flashes indicator that often precedes higher prices: CryptoQuant
Crypto Market Movers: 5 Altcoins Making Waves This Bull Run
Dormant Bitcoin wallet from 2014 moves BTC worth $10.2m
Polygon on-chain activity spikes despite MATIC price dip
The Other Satoshis: Bitcoin's Most Important Early Contributors
Trending
- 24/7 Cryptocurrency News1 month ago
Top Crypto News Headlines of The Week
- Bitcoin2 months ago
Ethereum, Solana touch key levels as Bitcoin spikes
- Bitcoin2 months ago
Bitcoin 20% Surge In 3 Weeks Teases Record-Breaking Potential
- Opinion2 months ago
Bitcoin Open-Source Development Takes The Stage In Nashville
- Altcoins2 months ago
Ethereum Crash A Buying Opportunity? This Whale Thinks So
- Donald Trump2 months ago
Why Did Trump Change His Mind on Bitcoin?
- Price analysis1 month ago
Will XRP Price Defend $0.5 Support If SEC Decides to Appeal?
- News2 weeks ago
New U.S. president must bring clarity to crypto regulation, analyst says
✓ Share: