Whales in the cryptocurrency market are currently setting their sights on Ethereum (ETH), the second-largest digital asset by market cap. In the midst of significant price fluctuations that have led to billions of dollars in liquidations, whales are making substantial moves to accumulate ETH.
In a recent development, a whale borrowed $28.3 million USDT to purchase 10,000 ETH when the price was hovering around $2,817. This strategic move indicates a strong bullish sentiment towards Ethereum, despite the ongoing market volatility. Additionally, another wallet known as 7 Siblings acquired 50,429 ETH worth $126 million at an average price of $2,480 during the same market dip.
On-chain analytics firm Coinglass reported that exchanges have witnessed an outflow of $228 million worth of ETH in the past 24 hours, suggesting a potential accumulation phase by whales. This outflow during a market downturn could signal a buying opportunity, potentially fueling an upward rally in the price of ETH.
Although Ethereum has experienced a price recovery from its recent low of $2,325 to reach $2,700, it remains down by 12% in the last 24 hours. However, trading volume has surged by 270%, indicating strong interest and confidence from investors and traders.
Technical analysis of ETH suggests that the cryptocurrency is currently below the critical support level of $2,800, making it vulnerable to further price declines in the near future. The asset is still trading below the 200 Exponential Moving Average (EMA) on the daily timeframe, signaling a continued downtrend if it fails to reclaim the $2,800 level.
In conclusion, Ethereum’s price momentum remains uncertain as whales continue to accumulate ETH amidst market turbulence. Traders and investors should closely monitor key support levels and technical indicators to gauge the potential direction of ETH in the coming days.