Ethereum has been on a strong rally, reaching highs near $3,900, but recent on-chain data has raised concerns among traders. A $47 million ETH transfer to OKX from a wallet linked to HashKey Capital, a major crypto investment firm, has sparked speculation that institutional sell-off may be underway.
Large transfers to centralized exchanges often indicate that the sender is preparing to sell, prompting fears that HashKey may be taking profits following Ethereum’s recent price surge. This move comes just before the U.S. Federal Reserve’s interest rate decision, a key macro event that could impact risk assets like crypto. Analysts suggest that some institutions might be de-risking or locking in profits before potential market volatility.
While Ethereum had a solid breakout earlier this month, whale activity like this often signals short-term corrections, especially when markets are on edge ahead of macroeconomic catalysts. Top crypto analyst Michaël van de Poppe noted that Ethereum’s recent breakout lacked strong momentum, predicting a possible short correction or liquidity sweep before the next leg up.
Despite fears of a sell-off, Ethereum remains technically strong, with the current price at $3,887, RSI at a neutral 59.21, a slight bearish crossover on MACD, and support zones around $3,865–$3,870. Holding above the critical $3,800 level suggests that ETH is still in an uptrend.
Ethereum’s fundamentals remain strong, with institutional interest, upcoming developments in DeFi, and speculation around spot ETH ETFs driving optimism. Many analysts expect ETH to retest $4,000 and higher in the coming weeks. However, caution is advised in the short term with large players like HashKey potentially offloading holdings.
All eyes are now on the Fed’s rate decision, which could either trigger a broader market rally or deepen profit-taking. Despite the uncertainty, Ethereum’s long-term prospects remain positive, and investors are advised to stay informed with breaking news, expert analysis, and real-time updates on the latest trends in the crypto world.