Over the past 48 hours, substantial amounts of Ethereum (ETH) have been transferred to cryptocurrency exchanges, reviving concerns of a potential sell-off.
On Wednesday, blockchain tracking service Whale Alert reported that 15,000 ETH worth over $24 million was moved from an unknown wallet to an exchange. Additionally, Wu Blockchain shared data showing about 300,000 ETH valued at around $488 million was transferred from two wallets to oinbase">Coinbase. The funds were then split into transactions of 4,282 ETH each before being dispersed to various addresses.
In a separate incident, PeckShieldAlert reported on Twitter that $41 million in crypto was drained from betting platform Stake in an apparent hack over the past day. Around 9,620 of the stolen ETH tokens were noted.
The sell-off fears follow transfers of thousands of ETH from wallets linked to Ethereum co-founder Vitalik Buterin to exchanges yesterday. One Buterin-associated address has already sent 31,000 ETH to four separate wallets.
From a technical view, ETH’s price could retest support around $1,580 soon after forming a negative price channel on its daily chart recently. Although ETH broke above the channel in August, it met selling pressure and fell back inside. Momentum indicators like the 9-day EMA under the 20-day EMA show sellers have the advantage short-term.
At press time, ETH traded just above $1,600. If bearish momentum persists, ETH may revisit the key $1,580 level soon. However, closing a daily candle over $1,690 in the next 48 hours would negate the bearish outlook and allow ETH to potentially challenge resistance at $1,775 next.
