Ethereum faces selling pressure from large holders, causing uncertainty among analysts about its short-term price direction. A notable investor sold 1,160 ETH at a significant loss. Overall, while some large investors are buying ETH, technical indicators offer mixed signals, suggesting potential volatility in the near future.
The current outlook on Ethereum’s (ETH) price shows significant selling pressure from large holders, creating uncertainty among analysts. Recent reports indicate that some long-term investors have begun liquidating their positions, even though they previously maintained them through market fluctuations. The price of Ethereum has been stabilising in the range of $1,550 to $1,700, prompting mixed interpretations of its future trajectory among traders.
Notably, blockchain monitoring firm Lookonchain reported that a prominent investor sold 1,160 ETH, resulting in a loss of approximately $1.83 million. This sale occurred at a price of $1,580, while the investor had acquired the same amount when ETH was valued at $3,816, reflecting a staggering 58.6% loss. Conversely, other major investors remain active in the market, with purchases totalling around 77,000 ETH valued at $125 million, indicating ongoing interest despite sell-offs.
Technical analysis reveals differing perspectives on Ethereum’s potential price movements. Analyst CrypNuevo believes the $1,700 to $1,550 price levels mirror past behaviours, contributing to a bullish outlook, especially considering Bitcoin’s stability at key support levels. In contrast, analyst Belle points to positive trends and strong support levels, suggesting Ethereum is poised for a significant price shift.
Ethereum’s recent performance shows it has reacted to historical support levels. The one-day Relative Strength Index (RSI) is approaching thresholds reflective of previous price bottoms. For instance, with current RSI levels around 25.75, this suggests a potential further correction towards a demand zone around $1,100, or even down to $880. Such movements, influenced by whale behaviours, may lead to increased price volatility in the near future.
While recent liquidity trends pose short-term uncertainty for ETH, the long-term outlook remains promising. Investors are advised to stay alert and monitor market developments closely as price dynamics remain intricate in the cryptocurrency landscape.
