Ethereum is on a roll, gaining over 5% in the last day and almost 10% in the past week. The price has broken through a key resistance level, now acting as support, at $2,400, giving traders a lot of confidence.
Big ETH Transfers: A Sign of Selling Pressure?
However, there’s a bit of a wrinkle. Data from IntoTheBlock shows that over 150,000 ETH were moved to exchanges like Binance and Coinbase in the last 24 hours. This is a significant amount, and it’s usually a sign that holders are getting ready to sell.
Why? Because exchanges are where you can easily swap your ETH for other cryptocurrencies, stablecoins, or even fiat money. So, when a large amount of ETH hits exchanges, it’s a bit of a red flag for bullish sentiment.
It’s still unclear if all of this ETH has been sold, but the sheer volume of the transfer is a cause for concern. This is the biggest transfer to exchanges in over nine months.
Ethereum’s Future: Bulls vs. Bears
Despite the potential selling pressure, Ethereum is still looking strong. The price is holding above the $2,400 support level, and buyers are in control. If Ethereum closes above $2,800, it could set the stage for a move towards $3,500.
The recent price action is also showing signs of increasing volatility and buying pressure.
Ethereum Foundation Selling: A Cause for Concern?
Adding to the uncertainty, the Ethereum Foundation has been selling ETH. They recently sold 300 ETH for over 763,000 DAI. This isn’t the first time they’ve unloaded ETH, as they’ve sold over 650 ETH in the past week.
While the Foundation’s selling doesn’t necessarily mean Ethereum is headed for a crash, it does add another layer of complexity to the current market situation.
Overall, Ethereum is in a strong position, but the large ETH transfers and Foundation selling are worth keeping an eye on. The next few days will be crucial for determining the future direction of the market.
