Ethereum (ETH), the second-largest cryptocurrency, is struggling to recover from a significant drop, leaving investors anxious. Recent data from Lookonchain indicates that some of the largest holders of Ethereum are starting to sell off their holdings.
According to the data, an Ethereum whale who purchased the token about a year ago is now selling it for profits. They initially acquired 12,906 ETH (equivalent to $24 million at current prices) from Binance at $1,890 last year and transferred it to Lido (LDO).
Subsequently, they withdrew 7,000 ETH from Lido amidst a slight market downturn on April 30th and deposited it back into Binance, resulting in a profit of over $16 million.
WhaleStats data reveals that Ethereum whales on the BSC Chain are exhibiting extreme fear according to the Fear and Greed Index at present.
Although Ether remains a highly traded and held token among whales, their behavior suggests nervousness as they await further market movements.
The performance of Ethereum in a bear market
The crypto markets continue to experience a downturn following a correction after Bitcoin reached new all-time highs, signaling the potential start of a bullish trend. Presently, Ethereum is valued at $3,208, marking a minimal 0.02 percent increase over the past day and a 0.8 percent rise over the past week.
Renowned crypto analyst Ashcrypto has updated his Ethereum price forecast, drawing from historical patterns observed in 2020 and 2021. He anticipates Ethereum to break out again in the third quarter of this year, with a target price of $4,000.
On the other hand, KEN Crypto suggests a shift in investor sentiment, noting a predominantly bearish outlook but also detecting a small emergence of bullish sentiment. This optimism is partly attributed to Ethereum's ability to remain above the 100 Simple Moving Average (SMA). However, Ethereum bulls are facing significant resistance in breaching key higher levels.
Insights from IntoTheBlock highlight a strong correlation between Ethereum's price and the volume of large transactions, indicating their substantial influence on Ethereum's price movements.
Notably, a decline in these transactions in April coincided with a decrease in Ethereum's price, suggesting that whales are impacting the market by exerting selling pressure.
May 2024, Cryptoniteuae