Odds of Ethereum experiencing another price correction are…

Ethereum [ETH] witnessed a price correction after the $1,900 mark was crossed, with a tweet from Lookonchain suggesting large whales appeared to be selling their ETH holdings. At the time of writing, ETH was trading at $1,839.66 with a market capitalization just below $221 billion. CoinMarketCap’s data revealed a 4% dip in ETH’s value to have occurred in the last 7 days with a double digit slide in the 24-hour trading volumes. Lookonchain’s tweets indicated a whale with a proving reputation for buying low and selling high had recently deposited $50 million in ETH to Binance.

The activity closely coincided with CryptoQuant’s sharing data of increasing exchange reserves signaling investors were dumping their holdings as a bearish trend. This was corroborated by Santiment’s chart highlighting near equal balance of Ethereum supply outside and on exchanges, foreshadowing a flip in the coming days. Scientific critique of ETH’s daily chart framed bearish readings on a few metrics, although Exponential Moving Average Ribbon was in favour of the buyers with its bullish crossover. On-chain stats too stepped in, with CryptoQuant’s taker buy/sell ratio noting buying sentiment on top and ETH’s network growth healthy. Ethereum’s MVRV, however, marked down substantially as a bearish sign.

Robert Wilson author
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