Ethereum Price Slips Amidst Market Uncertainty
According to data from CoinMarketCap, the price of Ethereum has slipped by 10.23% over the last seven days, mirroring the general market’s negative movement. This downturn has been attributed to multiple factors, including heightened geopolitical tensions in the Middle East and rising liquidations of long positions.
While Ethereum has experienced some rebound in the last day, gaining by 3.21%, investors remain uncertain about a full price recovery, with bearish sentiments prevailing in the market. Notably, an Ethereum ICO participant has now sold off a substantial amount of ETH, intensifying concerns of a prolonged downward trend.
Ethereum ICO Wallet Continues Selling Spree, Offloads 40,000 ETH In Two Weeks
Data from blockchain analytics firm Lookonchain reveals that an Ethereum wallet with the address “0xBF4” has moved 6,000 ETH worth $14.11 million to the Kraken exchange on Friday. This wallet has been identified as an early Ethereum investor who acquired 150,000 ETH valued at $368 million in the asset’s initial coin offering (ICO) in 2014.
Data from Lookonchain highlights that this is the second ETH sale by “0xBF4” in the last week, following the initial sale of 19,000 ETH valued at $47.54 million over Wednesday and Thursday. Notably, this ETH whale has transferred out 40,000 ETH worth $101 million since September 22, holding a balance of 99,500 ETH valued at $238 million.
Massive token offloads by large holders, such as whales, are often interpreted as bearish signals, indicating a lack of confidence in the asset’s long-term profitability. Sales such as those seen from “0xBF4” may trigger panic selling from smaller investors, inducing a stronger downward pressure on Ethereum’s price.
108,000 ETH Moved To Exchanges In 24 Hours
Aside from the wallet address “0xBF4”, other investors have recently sold off large amounts of ETH. According to analyst Ali Martinez, 108,000 ETH valued at $259.2 million have been transferred to exchanges in the last day. This massive sale activity indicates a heightened sentiment in the ETH market.
Currently, Ethereum trades at $2,399 following its recent price rally. However, its daily trading volume has declined by 17.48% and is valued at $14.61 billion. If bearish sentiments persist, ETH could retrace to around $2,200, which lies its next significant price level. However, amidst massive selling pressure, the altcoin could trade as low as $1,600.
With a market cap of $291.40 billion, Ethereum continues to rank as the second-largest cryptocurrency, with a market dominance of 13.47%.
Conclusion
The Ethereum market is currently experiencing significant uncertainty, with the price slipping by 10.23% over the last seven days. The recent sale of 40,000 ETH by an early investor and the transfer of 108,000 ETH to exchanges in the last day have heightened concerns about a prolonged downward trend. As the market continues to navigate this uncertainty, investors should remain cautious and closely monitor the situation.
FAQs
Q: What is the current price of Ethereum?
A: The current price of Ethereum is $2,399.
Q: What is the reason for the recent price decline?
A: The recent price decline is attributed to multiple factors, including heightened geopolitical tensions in the Middle East and rising liquidations of long positions.
Q: Who is the Ethereum ICO participant selling off a substantial amount of ETH?
A: The Ethereum ICO participant is an early investor who acquired 150,000 ETH valued at $368 million in the asset’s initial coin offering (ICO) in 2014.
Q: What is the market dominance of Ethereum?
A: Ethereum’s market dominance is 13.47%.
Q: What is the next significant price level for Ethereum?
A: The next significant price level for Ethereum is around $2,200.
