Ethereum
Will the price drop follow? — TradingView News
The Ethereum Foundation’s recent series of transfers to the multisign address “0xbc9” has attracted the attention of market observers, raising concerns about the potential volatility of Ethereum’s price.
In the latest transaction reported by Spot On Chain, the foundation transferred 1,000 ETH, worth $3 million, to the aforementioned address. This action is part of a broader trend, since the foundation has already transferred a total of 5,000 ETH to the same address since the beginning of 2024.
What is remarkable about these transfers is their potential impact on the market. The analysis reveals that a considerable portion of the previously transferred ETH – 1,766 ETH – was quickly sold for 4.81 million DAI, or an average of $2,725 per ETH. Interestingly, these sales often coincide with a drop in the price of Ethereum. Source: Spot On Chain
Indeed, historical data indicates a correlation between the Ethereum Foundation sell-off and downward pressure on the price of ETH. With the multisign address “0xbc9” currently holding 2,508 ETH, the equivalent of $7.51 million, market participants are cautious about the implications for Ethereum’s value. ETH to USD by CoinMarketCap
The current market environment adds to the apprehension, with Ethereum trading below $3,000 per coin and struggling to breach the $3,300 resistance level. As a result, speculation exists as to whether the foundation’s actions could exacerbate the downtrend, potentially causing the price of ETH to drop to $2,400.
As the crypto community prepares for what lies ahead, all eyes remain glued to the Ethereum price chart, awaiting clues on the leading altcoin’s next move.