Ethereum price has bounced back above $2,100 despite broader market volatility, driven by whale-watching and supply tightening. However, recent updates reveal that whales are now selling their ETH, likely to take profits after price recovery slowly. The important question now is whether this increase in selling pressure will cause Ethereum to drop, which is possible pushing its price back below $2,000 once again.
ETH Faces Heavy Selling by Whales
After recording the biggest accumulation in the last weekcrypto whales are now back to selling ETH. A new report released on X by on-chain researcher ‘The DataNerd’ it was revealed that the 2-year-old Ethereum whale recently deposited a staggering 15,000 ETH, worth an estimated $30.97 million, on crypto exchange Coinbase.
Based on size and transfer time, a flag was raised with Arkham Intelligence, a sleeping whale may be looking to sell or trade their ETH. Interestingly, DataNerd revealed that the whale was involved in the beginning Ethereum initial coin offering (ICO)meaning they bought ETH when the cryptocurrency was first launched at a very low price.
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The post also said that the whale used a dollar-cost averaging (DCA) strategy to buy 17,400 ETH at an estimated price of about $11.6 per coin on Poloniex. Despite moving some ETH to Coinbase, the whale still holds 14,800 ETH in their wallet, which is worth about $30.5 million, indicating that they haven’t sold most of their assets yet.
Another recent one The lowest price of ETH shares it was identified with the blockchain analytics platform Lookonchain on X. According to the report, “EthereumOG” with wallet address 0xa2F6 sold 15,002 ETH on March 23, worth about $30.97 million. The data showed that the whale had previously received 172,700 ETH at $12.83 per coin ten years ago, with a value of $2.2 million at that time. However, based on the price of Ethereum at the time of the transaction, the whale’s holding gained more than 16,082%, up to $ 356 million.
How This Sales Pressure Affects the Ethereum Price
The latest spikes whaling business could have wide-ranging effects on the price of Ethereum. When big ICO whales move their stuff to crypto exchanges, it usually indicates that they may be preparing to sell. Such a large deposit of ETH can create a lot of selling pressure in the market, as some traders are closely watching the movements of the whales he responded by selling or to adjust their positions.
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This can cause a chain reaction, putting a short time downward pressure on the price of Ethereum. The effect is even stronger when the whales involved are larger and older, further increasing price volatility. With ETH trading around $2,100, continued whale selling could lower its price, perhaps sending it below $2,000. Its price has already fallen more than 5% in the past seven days, according to CMC data, highlighting its underlying bearish momentum.
Featured image from Getty Images, chart from Tradingview.com
