Ethereum faces bearish pressure as whale unloads $12 million worth of Ethereum
ETH market sentiment and demand remained weak.
A whale has dumped $12 million ETH on Kraken since the ICO period.
- ETH market sentiment and demand remained weak.
Ethereum [ETH] recorded key selling pressure from a significant whale from the 2017 ICO (Initial Coin Offering) period.
According to analyst EmberCN, Whale received 150,000 ETH (worth) through the ICO.
However, on October 8, the entity transferred 5K ETH ($12.22 million). According to the analyst, since September, the whale has drained more than $113 million in ETH (45,000 coins).
Whale who received 150,000 ETH through ICO transferred another 5,000 ETH ($12.22 million) to Kraken 4 hours ago. He has sold 45,000 ETH ($113.2 million) in the past two weeks at an average price of $2,516.
Despite the latest sale, the whale still held more than $200 million in ETH.
ETH price reaction
Source: CryptoQuant
Interestingly, the whale dump reflected overall weak demand for ETH from US investors. There was little interest in ETH at the time of publication, as indicated by the negative reading of the Coinbase Premium Index.
However, low demand could delay the expected strong comeback for ETH after the recent fall below $2,500.
In the short term, whale order data and liquidation heatmaps suggest that $2,400 and $2,550 are important targets to watch.
Significant long positions at $2,400 can be liquidated if liquidity is captured (bright cluster). This can attract price action.
Source: Coinglass
On the other hand, significant overhead selling positions increased near $2,450 and $2,550.
Whale order analysis data supports the above dissolution data. Notably, at the time of publication, the Binance exchange had a sell wall of $2,500- $ 2,520 (red lines) and a buy wall of $2,400 (green lines).
Source: Coinglass
On the lower time-frame charts, ETH has dropped to near-term support just above $2,400. At the time of publication, it was valued at $2.42K, down 8% in the past seven trading days.
However, readings on technical indicators were weak. Given that the RSI is below average and trading volume has decreased, ETH’s short-term return could depend on staying above $2,400 and recovering the $2,500 level.
Source: ETH/USDT, TradingView
