Ethereum’s Market Struggles: Whales Offload 143,000 ETH Amid Uncertainty

Ethereum is trading around $1,600, struggling against bearish pressure following whales offloading 143,000 ETH in a week. Macroeconomic uncertainty and unresolved US-China trade tensions further weigh on investor sentiment. Despite potential bullish indicators, a lack of clear support and ongoing sales by large holders suggest continued vulnerability in the market.

Ethereum is currently trading around the $1,600 mark after several unsuccessful attempts to rise above this level. While there are indications of bullish activity, the prevailing bearish pressure dominates the market landscape. Despite a minor recovery last week, Ethereum’s overall structure indicates a persistent downtrend, suggesting uncertainty in price movements.

Macroeconomic concerns continue to weigh heavily on the cryptocurrency market, driven primarily by ongoing tensions between the United States and China. These geopolitical issues contribute to a cautious investor sentiment, further complicating the market environment and risk appetite.

Data from CryptoQuant has revealed that Ethereum whales have sold off approximately 143,000 ETH within the past week. This significant distribution by large holders raises concerns about potential further declines, as many long-term investors choose to reduce their holdings instead of accumulating more ETH.

Despite analysts suggesting a possible recovery if key resistance levels are reclaimed, the current technical conditions are fragile. Unless Ethereum manages to confirm its position above short-term resistance, the risk of a further decline remains imminent, urging traders to maintain a cautious outlook on price movements.

As Ethereum’s price action appears ambiguous, support levels are also unstable, resulting in continued selling pressure. The cryptocurrency struggles to establish a firm demand zone, with bears remaining in control. Analysts caution that Ethereum may continue to drop should there be no significant buying interest.

Global trade uncertainties, particularly the unresolved tariff disputes between the US and China, are reinforcing negative sentiment in riskier assets like Ethereum. These economic factors combined with fears of a recession contribute to the ongoing downward pressure in the cryptocurrency market.

Top analyst Ali Martinez recently expressed concerns regarding Ethereum’s outlook, following the large-scale selling by whales. Since late December, ETH has exhibited a persistent bearish trend, with repeated attempts to rebound thwarted by ongoing selling.

Currently priced at $1,600, Ethereum has experienced significant volatility due to macroeconomic uncertainties. Although there have been short relief bounces, a sustained bullish momentum has yet to emerge. For a reversal to be credible, reclaiming the resistance at $1,850 is essential, coinciding with critical moving averages around $1,800.

Strength above these moving averages would indicate potential recovery; however, failure to do so may trigger a drop towards the $1,500 level or even lower if selling pressure increases. A sustained position below key moving averages keeps the risk for further declines high, presenting a challenge for bulls to reverse market sentiment effectively.