Ethereum’s price has dropped to $2,598, reflecting a 1.90% decrease over the past 24 hours. During this time, trading volume surged by 30.23%, reaching $13.31 billion. Ethereum’s market capitalization also declined by 1.49%, now standing at $316 billion, with a stable circulating supply of 120.37 million ETH. These factors are raising concerns about potential further price corrections.
Large-scale whale transactions are currently influencing market sentiment. The most significant involved the transfer of 43,331 ETH (over $113 million) to Coinbase Institutional, sparking speculation about possible liquidations or institutional repositioning. This movement is likely contributing to Ethereum’s ongoing downtrend.
Additionally, two more transactions—totaling 25,194 ETH worth $66.13 million—were sent to Coinbase, adding further short-term selling pressure. Another notable transfer involved 8,487 ETH ($22.38 million) sent to Binance, which could increase the risk of liquidation and drive Ethereum’s price down further.
A separate transaction from Wintermute, a well-known market-making firm, saw 9,534 ETH (valued at $25.05 million) moved to an unknown wallet, hinting at possible market strategies behind the scenes. In another instance, a dormant wallet holding 70 ETH was activated after 9.2 years, though this is unlikely to impact the market compared to the larger whale movements.
Ethereum is approaching critical support and resistance levels. It faces strong resistance at $2,634 and support at $2,593. A bearish crossover between the 9-day and 21-day moving averages suggests the potential for further declines, as the price remains below both $2,600 and $2,605.
Ethereum (ETH) Price Chart (Source: TradingView)
Technical indicators suggest Ethereum may face additional challenges as it nears critical support levels. The Relative Strength Index (RSI) is currently at 28, with an average RSI of 31. This low RSI indicates that Ethereum is in oversold territory, hinting at a potential price reversal. However, the average RSI suggests continued bearish momentum in the short term, contributing to the overall negative market sentiment.
Investors should remain cautious, as oversold conditions can persist longer than expected. Adding to market uncertainty, the Ethereum Foundation recently sold 100 ETH for approximately 262,474 DAI just 10 minutes ago. This brings the total to 3,766 ETH sold for 10.46 million DAI in 2024, with 1,250 ETH ($3.06 million) sold in September alone. These sales suggest the foundation is actively managing its holdings, which could impact Ethereum’s supply and price stability moving forward.