Ethereum’s whales are swimming away, triggering a 63.8% plunge in big transactions since late February as they offload their holdings. Over 760,000 ETH have changed hands from whale wallets in the last two weeks alone, intensifying the market’s selling pressure.
One long-time Ethereum enthusiast cashed out their remaining 2,001 ETH for a cool $3.82 million. Back in 2017, they had accumulated 5,001 ETH starting at $277 a piece.
These sales suggest that major holders are reducing their stakes, possibly bracing for further price drops or strategically pivoting away from Ethereum. The shift weakens Ethereum’s momentum, as retail investors often struggle to counteract the selling pressure when whales bail, amplifying volatility.
At press time, Ethereum is wobbling around $1,863.12, a slight 0.53% uptick for the day.
The price action hints at a potential double bottom near the $1,800 support zone, suggesting bulls might be gearing up for a comeback. Key resistance levels loom at $2,116.59 and $2,545.80; Ethereum needs to conquer these to confirm a bullish reversal. Otherwise, this rebound could be short-lived.
Binance’s 24-hour liquidation heatmap highlights significant liquidation activity between $1,900 and $1,950. This range represents a concentration of leveraged traders being forced out, creating resistance. Ethereum’s struggle to stay above these levels reflects a lack of buyer confidence.
On-chain metrics paint a picture of declining user engagement. Over the past week:
- New addresses: Decreased by 10.41%.
- Active addresses: Dropped by 8.25%.
- Zero-balance addresses: Surged by 26.16%.
The total Ethereum stash on exchanges has swelled to $33.98 billion, a 0.77% increase in the last 24 hours. Rising exchange reserves often signal that investors are leaning towards selling rather than holding.
Ethereum appears poised for a short-term correction. Demand is weakening, and selling pressure is mounting.