Traders Dump 32.5K ETH on Exchanges as Price Correction Continues
In an interesting turn of events, it seems that many traders are selling off large amounts of Ethereum (ETH) tokens following the recent price correction in the broader cryptocurrency market. According to Spotonchain, an on-chain tracker, approximately 32.5K ETH was deposited onto centralized exchanges (CEXs) within the past 24 hours, attracting significant attention.
This development has sparked speculation about the future price action of ETH, as bearish sentiments continue to prevail in the altcoin market after its significant dip following a breach of the $4k mark. Furthermore, Ethereum’s market dynamics indicate a bearish trend for the token, leading to discussions about a potential drop below the $3K mark in the near future.
32.5K ETH Deposited on CEXs
SpotOnChain’s data reveals that three long-term traders deposited a total of 32,527 ETH, equivalent to $109 million, onto CEXs in the past 24 hours. One trader with the handle “0x213” deposited 12,500 ETH worth $41.7 million into Kraken. Additionally, two other traders with handles “0x50b” and “0x435” deposited 11,600 and 8,427 ETH respectively onto Binance, with a combined value of $67.3 million.
The significant influx of ETH onto CEXs has prompted speculations regarding the sentiment of these whales. Some are questioning whether they believe that the recent correction is still insufficient and anticipate a more substantial market downturn before considering buying back into Ethereum.
Meanwhile, this massive offloading of ETH onto exchanges exacerbates the slump in price as supply increases on these platforms. This adds to the plethora of reasons previously highlighted by CoinGape, which has contributed to the current downtrend.
Ethereum Price Plummets
At the time of writing, Ethereum has experienced a significant decline of 5.18% over the past 24 hours. The token is currently valued at $3,340, signaling a bearish outlook as its market capitalization and 24-hour trading volume have dropped by 5.28% and 2.12% respectively.
The decrease in the OI-weighted funding rate and a dip in open interest further support the bearish sentiment surrounding ETH. These factors indicate a lack of investor confidence in the asset. Additionally, technical indicators point towards a selling sentiment, with the Relative Strength Index (RSI) at 45, suggesting that bears have control of the market without it being overbought or oversold.
CoinGape Media’s analysis also highlights a challenging period for Ethereum, indicating potential downward momentum in its price movements. These factors combined fuel speculations about a drop below the $3K mark in the short term.
Hot Take: What Lies Ahead for Ethereum?
As traders continue to offload significant amounts of ETH onto exchanges, the future of Ethereum’s price remains uncertain. Here are some key points to consider:
- The recent deposit of 32.5K ETH onto CEXs suggests that whales are not yet satisfied with the price correction and may anticipate further declines before re-entering the market.
- Ethereum’s current bearish trend, coupled with technical indicators and decreasing investor confidence, points towards potential downward momentum for its price in the short term.
- The overall market sentiment towards altcoins, including Ethereum, remains cautious due to various factors affecting the crypto market as a whole.
- While the price of ETH has dipped below the $3K mark, it is uncertain whether it will continue to decline or experience a rebound in the near future.
It is important for traders and investors to closely monitor market trends and news updates to make informed decisions about their ETH holdings. Additionally, conducting thorough research and consulting reputable sources can provide valuable insights into Ethereum’s future price movements.
As the crypto market continues to evolve, it is essential to stay updated with the latest developments and adapt strategies accordingly. Remember to exercise caution and consider your risk tolerance before making any investment decisions.
By
By
By
By
By