Ethereum, the second largest cryptocurrency by market value, may experience significant volatility in light of recent market developments. A 4% decline in the past 24 hours has raised concerns among investors due to whale activities, fueling bearish rumors.
Will Ethereum’s Price Decline?
The transfer of approximately 56,000 ETH to exchanges has sparked speculation about a potential correction among investors. Analyzing the token’s on-chain data could provide further insights in this regard.
Meanwhile, several on-chain firms have shed light on significant whale activities surrounding ETH. In the past day alone, 55,706 ETH was moved to one of the world’s top CEXs.
According to data from Whale Alert, 10,431 ETH worth $33.23 million was transferred to Binance. Additionally, another whale moved 33,383 ETH valued at $106.12 million to the same exchange, followed by another whale transferring 11,892 ETH worth $38.07 million back to exchanges.
These large Ethereum transactions have raised concerns about a potential future price correction. The fact that whales are making such moves without a rally occurring increases the likelihood of a correction.
On the other hand, the overall market outlook is also fueling speculation about the price of ETH. Initiatives suggesting that Ethereum may be considered a security have created further uncertainties and negatively impacted the price.
What is Ethereum’s Current Price?
As of now, Ethereum’s price has dropped by 4.31% in the past 24 hours, reaching $3,172. The price movement, combined with derivative data, presents conflicting views.
Data from Coinglass shows a 4.76% decrease in open interest for ETH, while derivative volume has increased by 11%.
The recent volatile price movements in Ethereum, along with derivative data, are likely causing mixed sentiments among investors due to speculation-driven transactions.
In other news, we recently reported that Justin Sun, the founder of TRON, has been accumulating large amounts of ETH. This could be interpreted as Sun having bullish expectations for ETH in the near future.
Disclaimer:
The information provided in this article should not be considered as investment advice. Investors should be aware of the high volatility and risks associated with cryptocurrencies and should conduct their own research.
